The merger between Bio-Technology General Corp. and GynexPharmaceuticals Inc. is now a fait accompli.
Shareholders of both companies voted Friday to approve themerger, a stock swap transaction valued at $48 million.
Under the merger, announced March 10, Gynex stockholderswill receive 0.61 shares of Bio-Technology General (BTG)common stock for each Gynex share. The merged company willbe known as Bio-Technology General Corp. and will trade onNASDAQ as BTGC. Shares of Gynex common stock(NASDAQ:GYNX) stopped trading at the end of business onFriday.
Gynex brings to the merger an abundance of hormones andother pharmaceuticals for use in endocrinology, urology,metabolism, AIDS and gynecology. BTG contributes itsgenetically engineered hormones, growth factors and enzymes.
"The merger of BTG with Gynex will result in a significantlystronger operation because of the combined portfolios of nearand long term pharmaceutical products," said Sim Fass,president and chief executive officer of BTG of New York.
"Products being developed by Gynex for pediatric growthdisorders and AIDS clearly have strong synergies with our ownproducts," Fass added. "Moreover, several of Gynex's productsare in advanced stages of clinical development and oneproduct, Delatestryl, an injectable testosterone, is already beingmarketed."
Stephen Simes, until now the president and chief executiveofficer of Gynex of Vernon Hills, Ill., will become senior vicepresident and a director of BTG. Gynex will move its operationsto the New York metropolitan area; the executive offices arerelocating to Metro Park, N.J., in the early fall. -- Jennifer VanBrunt
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