Ireland’s Actavis buys Warner Chilcott for $8.5B
Pharmaceutical company Actavis plc, based in Ireland, announced Tuesday it has completed the acquisition of Warner Chilcott plc in a stock-for-stock transaction valued at approximately $8.5 billion. Warner Chilcott has a plant in Fajardo.
The combination creates a global specialty pharmaceutical company with approximately $11 billion in anticipated combined annual 2013 revenue, and the third-largest specialty pharmaceutical business in the U.S. with approximately $3 billion in annual revenue focused on the core therapeutic categories of women’s health, urology, gastroenterology and dermatology.
In connection with the acquisition, Actavis and Warner Chilcott have been combined under a new company incorporated in Ireland, and have adopted the global name Actavis plc.
Shares of Actavis plc will trade on the New York Stock Exchange under the ticker symbol ACT.
“The combination of Actavis and Warner Chilcott creates a premier specialty pharmaceutical leader under the Actavis Specialty Brands umbrella. This enhanced business segment is uniquely positioned to meet the healthcare needs of patients around the world — particularly as a leader in women’s health,” said Paul Bisaro, president Actavis.
“The acquisition more than doubles Actavis’ Specialty Brands portfolio and delivers an industry leading pipeline with more than 25 products in various stages of development,” he said.
“When combined with the global commercial presence of Actavis Pharma and supported by our industry-leading Actavis Global Operations team, we now operate a formidable specialty pharmaceutical company,” he said.
Actavis, which has its administrative headquarters in Parsippany, New Jersey, has immediately implemented a comprehensive integration process, and will focus its efforts on maximizing its broader portfolio of marketed products, its enhanced research and development capabilities and pipeline and its expanded manufacturing footprint.
“With the acquisition now closed, we renew our goal of long-term, double-digit organic earnings growth from this newly expanded base,” Bisaro said.
Warner Chilcott was established in 2006 in Fajardo, where it employs about 300 people. According to online sources, the company generates about $23 million in annual revenue from manufacturing activity in that plant.