Date: 2012-12-14
Type of information: Pipeline acquisition
Acquired company: portfolio of Lundbeck’s (Denmark) non-core products primarily related to the United States
Acquiring company: Recordati (Italy)
Amount: up to $100 million (€76 million)
Terms: On December 14, 2012, Lundbeck has announced that the company has entered into an asset purchase agreement with Recordati that will acquire a portfolio of Lundbeck’s non-core products primarily related to the United States. This transaction is part of Lundbeck’s long-term strategy to focus on newer, innovative strategic products in its portfolio that address psychiatric and neurological disorders. Recordati intends to hire several of the Lundbeck employees who have primarily supported the products involved in this transaction and thereby further streamlining Lundbeck’s global production capacity.
Under the terms of the agreement, Recordati has acquired and retains all of Lundbeck’s rights and responsibilities for the manufacturing, distribution and sale of the products. Recordati has acquired the product portfolio for a purchase price of up to $ 100 million which will be booked under Other revenue in Lundbeck’s accounts.
The transaction is expected to close at the beginning of 2013 following the applicable antitrust waiting period. The initial payment of $ 80 million will be made at closing in the first quarter of 2013 and the remaining payment of $ 20 million is subject to product registration transfers.
Details: As part of this transaction, Recordati has acquired rights to the following products: Chemet® (succimer), Cosmegen® (dactinomycin for injection), Desoxyn® (methamphetamine hydrochloride), Elspar® (asparaginase), Indocin® (indomethacin), Mustargen® (mechlorethamine HCL for injection), NeoProfen® (ibuprofen lysine), Panhematin® (hemin), Peganone® (ethotoin) and Tranxene® (clorazepate). The products represented annual revenues of approximately $45 million in 2011.
Related: drug industry
pharmaceuticals
