Paris, Sep 1: French oil company Elf Aquitaine said Wednesday it will sell a 15.5 per cent stake in pharmaceuticals group Sanofi-Synthelabo. Under a shareholder's agreement with beauty products company L'Oreal SA, Elf can dispose of this stake.Elf will retain a 20 per cent stake in the capital of Sanofi-Synthelabo, said sources. In a statement, Elf said the proceeds of the Sanofi-Synthelabo stake sale will contribute to the financing of its unsolicited bid on rival TotalFina SA.
Calculated on Sanofi's closing share price of 39.40 euros on Tuesday, the 15.5 per cent stake is worth around 4.3 billion euros. In midday Paris trading, Sanofi-Synthelabo shares were down 0.90 euro, or 2.3 per cent, at 38.50 euros. BNP, Credit Agricole Indosuez/Lazard Capital Markets, Goldman Sachs and Morgan Stanley Dean Witter have been appointed book runners.
The Wall Street Journal
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