Yesterday, Actavis plc (ACT) announced its acquisition of New York City based specialty pharmaceutical company Forest Laboratories, Inc. (FRX). The acquisition, which is to be paid for in stock and cash, cost Dublin-based Actavis about $25 billion. Not only is this a great addition to Actavis’s – the second-largest in the world by revenues in 2012 – but the deal has financially benefited activist investor Carl Icahn, who invested in Forest Laboratories in 2009.
Actavis PLC (ACT), a generic drug maker, announced earnings results for the second quarter of its fiscal year 2014 (2QFY14) today. For the second quarter ending June, the company reported revenues of $2.7 billion, up 34% year-over-year (YoY), beating analysts’ estimates of $2.5 billion. Adjusted EPS for the quarter was $2.62, up 30% YoY, missing analysts’ estimates of $3.375. Net income reported was $0.55 billion this quarter, compared to analysts’ estimates of $0.59 billion.
Irish pharmaceutical company Actavis will buy Allergan, the maker of Botox, for $219 per share in cash and stock, the company said in a press release. Actavis' CEO will lead the company. For many months, Allergan had been fending off a hostile bid from Valeant. The Canadian pharmaceutical company had teamed up with hedge fund manager Bill Ackman to pursue the takeover.
LONDON/FRANKFURT (Reuters) - Watson Pharmaceuticals Inc is close to buying Swiss-based Actavis for around $7 billion, marking the latest deal between generics companies racing to achieve economies of scale, three sources familiar with the matter said. The deal would see U.S.-based Watson, already among the world's five largest generic drugmakers, paying between 5.0 billion and 5.5 billion euros ($6.6-7.3 billion) for Actavis, a business of comparable size to its own, the sources said. ...
Actavis announced the acquisition of its Dublin-based competitor Warner Chilcott for $5 billion, which will turn it into world’s third biggest generic drug company by market share, reported Financial Times.
The total amount of the deal is $8.5 billion including net debt as well. In the recent months other pharmaceutical giants like Valeant and Mylan made attempts to acquire Actavis as part of the trend of rapid consolidation in the industry.