Holiday Gift To Chattem (CHTT) Holders From Sanofi (SNY)

Sanofi-Aventis’ (NYSE: SNY) all-cash tender offer of $93.50 per share to Chattem (NASDAQ: CHTT) shareholders is a great deal as it represents 34% premium to the last closing price of around $70.

The definitive agreement was announced by Chattem today and is expected to create the fifth-largest global consumer healthcare company. This has been identified as a key focus area for Sanofi-Aventis and is expected to be immediately accretive to EPS.
Oppenheimer Research observes that Chattem’s portfolio of primarily U.S. brands will complement Sanofi-Aventis’ international presence. The price target has been set at $75 and the stock is rated Overweight.

Read our earlier reports on CHTT here.