FTC request delays Genentech and Tanox merger

Biotechnology major Genentech and fellow USA-based Tanox have received a request for additional information and documentary materials from the US Federal Trade Commission in connection with Genentech's proposed acquisition of Tanox (Marketletter This second request extends the waiting period imposed by the Hart- Scott-Rodino Antitrust Improvements Act of 1976, the expiration of which is a condition to the completion of the acquisition.

The companies say that they continue to engage in active and productive discussions with the FTC and intend to cooperate fully with its review of the proposed acquisition. They anticipate that the FTC's review could extend beyond the first quarter of 2007 and expect that the transaction will close within the first half of the year, subject to the satisfaction of other customary closing conditions.