Actavis acquires the specialty generics company Abrika Pharmaceuticals in the US
Actavis Group announced that it has agreed to acquire Abrika Pharmaceuticals Inc., a US based specialty generic pharmaceuticals company engaged in the formulation and commercialization of both controlled release ("CR") and other technically difficult pharmaceutical products. Actavis has reached an agreement to acquire Abrika for an initial gross consideration of EUR85 million (US$110 million) in cash. Additional earn-out payments of up to EUR96 million (US$125 million) are payable over the next three years subject to performance.
The purchase price of EUR85 million (US$110 million) will be paid in cash from additional debt facilities that have been committed by Actavis and carry similar terms and conditions to Actavis' existing debt. Abrika is expected to have a net cash value at closing of approximately EUR4 million (US$5 million).
The acquisition is subject to regulatory approval and is expected to close in January 2007.
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