Scios Nova-Genentech deal leaves analysts divided

The deal between Scios Nova Inc. and Genentech Inc. covering SCIO's Auriculin left Wall Street analysts divided last week over the relative benefits of the deal to each side. Although SCIO shares closed the week up $1.375 at $8, analysts on balance rated the deal better for GNE than for SCIO.

SCIO (Mountain View, Calif.) and GNE agreed to collaborate to complete the development of SCIO's Auriculin atrial natriuretic peptide to treat acute renal failure (ARF) in a deal worth up to $100 million. The partnership is GNE's largest to date, excluding its deal with Roche...