Genzyme Molecular Oncology Gains Funds For R&D Operations

Framingham, Mass.--Genzyme Molecular Oncology, a Genzyme division that uses genomics, combinatorial chemistry, and other technologies to develop molecular approaches to cancer diagnosis and therapy, has announced the private placement of $20 million in 6 percent convertible debentures due in 2002. All purchasers were institutional investors. Proceeds will be used to fund the company's operations and R&D programs prior to an initial public offering. The debentures will be convertible into shares of Genzyme Molecular Oncology common stock at a discount to the market price at the time of conversion.