The agreement is set to build on Hospira's strong position in the American generic injectables market and establish the company internationally.
Hospira's acquisition of Mayne Pharma could have implications for the worldwide injectables market, with the potential to help reduce the overall costs of healthcare and improve the affordability of care for patients. Mayne Pharma's significant presence in Europe, Australia and Canada strengthens Hospira's global reach.
“The Mayne acquisition more than doubles Hospira's international presence and significantly accelerates the expansion of our generic injectables business,” said Christopher Begley, CEO of Hospira.
The acquisition of Mayne Pharma will also expand Hospira's oncology presence and provide the company with potent/cytoxic manufacturing and research capabilities.
“Mayne has grown rapidly over recent years and we believe will continue to grow under the ownership of Hospira, which will provide access to greater resources, particularly in the important US market,” said Peter Willcox, chairman of Mayne Pharma.
The transaction represents a 32% premium over Mayne Pharma's September 18, 2006, closing price. If all necessary approvals are secured, the transaction is expected to be completed by the end of the 2006.