Actavis to acquire Warner Chilcott for $8.5bn
Generic drugmaker Actavis has entered into a definitive agreement to acquire the international pharma company Warner Chilcott plc for US $8.5 billion.
If successfully completed, this transaction will create the third-largest US global specialty pharma company, with approximately $11 billion in combined annual revenue. The company will have four core therapeutic categories: women’s health, gastroenterology, urology and dermatology. These core areas generate approximately $3 billion in annual revenue.
“The combination of Actavis and Warner Chilcott creates a strong specialty brand portfolio focused in therapeutic categories with strong growth potential, and is supported by a deep pipeline of development programs. The combination is commercially and financially compelling, and reshapes the specialty pharmaceutical universe by creating a powerful global competitor.”
Paul Bisaro, President and CEO of Actavis.
The transaction is expected to close by the end of 2013. The newly created company will be situated in Ireland, where Warner Chilcott is currently situated. It is expected to be called Actavis plc or a variant thereof and will be led by the current Actavis leadership team. Warner Chilcott shareholders will hold around 23% of this new company.
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