Abbott Laboratories said on Monday that it had agreed to sell its established generic drug business outside the United States to the generic drug maker Mylan in an all-stock deal that valued at about $5.3 billion.
Under the deal, Abbott will take a 21 percent stake worth about $5.3 billion in a new company that combines Mylan’s existing business with Abbott’s developed markets pharmaceuticals operations in Europe, Japan, Canada, Australia and New Zealand.
The transaction will allow Mylan to engage in a so-called inversion: the Pennsylvania company would reincorporate in the Netherlands to lower its corporate taxes and to free up cash held in overseas entities.
Mylan, whose headquarters are in Pittsburgh, unsuccessfully pursued the Swedish drug maker Meda this year in hopes of engaging in an inversion.
“We have been actively looking at a wide range of opportunities, and the acquisition of this business is absolutely the right next strategic transaction for Mylan as it builds on our strong momentum, expands and further diversifies our business in our largest markets outside of the U.S.,” Robert J. Coury, the Mylan executive chairman, said in a statement.
This article has been extracted from http://dealbook.nytimes.com, please click on this link to read the article in full http://dealbook.nytimes.com/2014/07/14/mylan-to-buy-generics-drugs-business-outside-u-s-from-abbott-for-5-3-billion/
Montash is a multi-award winning, global IT recruitment firm. Specialising in permanent and contract positions across mid-senior appointments which cover a wide range of industry sectors and IT functions, including:
ERP, BI & Data, Information Security, IT Architecture & Strategy, Scientific Technologies, Demand IT and Business Engagement, Digital and E-commerce, Infrastructure and Service Delivery, Project and Programme Delivery.
With offices based in London, Montash has completed assignments in over 30 countries and has appointed technical professionals from board level to senior and mid-management in permanent and contract roles.