Biogen Idec has hired Goldman Sachs and Merrill Lynch to evaluate expressions of interest from third parties, including activist investor Carl Icahn, in acquiring the Cambridge, Mass.-based biotech, according to an after-market-close announcement Oct. 12.

Biogen said that its board of directors has authorized management to conduct an evaluation of an acquisition "that would represent a better value for its stockholders than having the company continue to execute its strategy on a stand-alone basis."

With a portfolio of multiple sclerosis products including Avonex (interferon beta-1a) and Tysabri (natalizumab), as well as the non-Hodgkin's lymphoma treatment Rituxan (rituximab), co-marketed with Genentech, Biogen Idec will not come cheap: its market cap stands at $20 billion.

Biogen shares enjoyed a nice ride on Oct. 11 and 12, due in part to news coming out of the Congress of the European Committee for Treatment and Research of Multiple Sclerosis (ECTRIMS) in Prague on Tysabri as well as daclizumab, under development with PDL BioPharma (¹ see related story).

At the market close Oct. 12, Biogen shares closed at a 52-week high on NASDAQ at $69.43, up 3.44 percent. However, in after-market trading, shares skyrocketed up 17.53 percent to $81.60.

In addition, shares of Tysabri marketing partner Elan also jumped in after-marketing trading, up 7.43 percent to $24.01. Elan shares on NASDAQ ended the day at $22.35.

- Jonathan M. Block (j.block@elsevier.com)

Biogen Hires Outside Help To Evaluate Acquisition Interest

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