France’s Sanofi seeks to sack board of US takeover prey

French drugs giant Sanofi threatened Wednesday to sack the entire board of US rival Medivation, dramatically turning up the heat in an acrimonious, multibillion-dollar takeover battle.

Sanofi launched the attempt to replace all board members of Medivation after being repeatedly spurned in its attempts to purchase the group, which makes a high-priced, blockbuster prostate cancer medication called Xtandi.

As a shareholder in Medivation, the French company has the right to seek written support from fellow shareholders to overturn the board of its US rival.

The proposal by Sanofi, which offered a new slate of eight directors, needs the support of more than 50 percent of Medivation shareholders in a process that can last up to 60 days.

“We are seeking your support for the removal of the company board,” said a copy of the request to shareholders, which was filed with the US market regulator, the New Yorkbased Securities and Exchange Commission.

Sanofi accused Medivation directors of failing to act in the best interests of its shareholders.

“The company board has refused even to engage with us regarding our proposed offer,” it said. Sanofi said it was open to signing a confidentiality agreement so as obtain more information about Medivation, stressing that in such conditions it was in a position to increase its offer. (AFP)