Novartis to Buy Generic Drug Companies

APRIL 01, 2005

Novartis plans to expand its presence as a maker of generic drugs with the purchase of Hexal of Germany and its New York affiliate, Eon Labs, for a reported $8.4 billion in cash. Hexal is the second-largest generic drug manufacturer in Germany.

The purchase would give Novartis a much bigger piece of the generic drug pie. Hexal would bring Novartis >120 new products, including painkillers and cholesterol drugs. Eon would bring a low-cost copy of a popular antidepressant (bupropion) and an extensive pipeline of new generic drugs.

The acquisition will occur in stages. Novartis already has signed an agreement to pay $7.4 billion for all of Hexal and for 67.7% of Eon. After the transaction closes (scheduled for the second half of 2005), Novartis plans to offer $31 a share, or about $1 billion, for the rest of Eon.



SHARE THIS SHARE THIS
0
 

In Seniors: Consider CMV Serostatus
When Recommending Flu Vaccine

Older people who have cytomegalovirus seem to have less robust responses to the trivalent influenza vaccine than those who do not have CMV.


 

 

Conference Coverage
News from the year's biggest meetings


Pharmacist Education
Clinical features with downloadable PDFs


 

SIGN UP FOR THE PHARMACY TIMES NEWSLETTER
Personalize the information you receive by selecting targeted content and special offers.