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Hoechst, Rhône deal closer
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November 30, 1998: 7:49 a.m. ET
Firms expected to announce deal Tuesday to merge their businesses
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LONDON (CNNfn) - Germany's Hoechst and France's Rhône-Poulenc are expected to announce Tuesday that they will merge their "life sciences" businesses in a deal that would create a new industry leader with assets of about $36 billion.
The two companies announced Monday that they will host a joint press conference in Strasbourg, France on Tuesday.
The boards of the two companies will attend. A Hoechst (FHOE) spokesman said they would be giving an "update on the merger discussions" that both parties confirmed last week.
The new drug and agrochemicals company would have annual sales of 115 billion francs ($20 billion), propelling it to the position of industry leader. The Hoechst spokesman confirmed to CNNfn that Aventis is one of the names for the new company that is under consideration.
Both Hoechst and Rhône (PRPP) have already spun off their chemicals businesses into separate companies, leaving their drugs and agrochemicals, or "life sciences" businesses.
Rhône shares were down 5.8 francs at 287.2 francs in morning trade in Paris while Hoechst stock eased 2.95 marks to 71.4 marks in Frankfurt. 
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Hoechst
Rhône-Poulenc
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