GlaxoSmithKline extends $2.6 billion offer for Human Genome Sciences

GlaxoSmithKline Plc (GSK) yesterday extended its hostile $2.6 billion bid to buy Human Genome Sciences Inc (HGS) until 29 June, even as the board of the US-based biotech company continued to reject it terming the offer as inadequate.

The offer was set to expire on Thursday night.

The London-based drug giant said that its unchanged $13-a-share full and fair value offer would run for a further month and that it is in the best interests of both the company and its shareholders.

But the board of Rockville, Maryland-based HGS once again urged shareholders to reject the offer, saying it was ''inadequate and does not reflect the value inherent'' of its business.

GSK had secured less than 1 per cent of HGS shares, which were trading at $13.32 yesterday in New York, 32 cents above GSK's offer.

GSK had launched a friendly $2.6 billion bid, an 81 per cent premium over the share price of $7.17, on 18 April, when the offer was made public.