Human Genome Said to Reject Bid on Concern of Investor Loss

Human Genome Sciences Inc. rejected GlaxoSmithKline Plc’s $13-a-share takeover offer partly because most of its biggest investors bought the stock at a higher average price, said two people with knowledge of the matter.

Of the 25 largest shareholders, about 22 of them acquired stakes with an average basis price that’s higher than the offer, said the people, who asked not to be identified because the discussions are private. Starting in late 2009, Human Genome shares traded between $20 and $30 until about August of 2011.