Impax Laboratories to buy generic products from Teva and Allergan for $586m

The agreement is in connection with the divestiture process mandated by the US Federal Trade Commission (FTC) in relation toTeva’s $40.5bn acquisition of Allergan’s generic drugs portfolio.

Impax said the deal will add 15 marketed generics, one product that has been approved for commercial launch and two more yet-to-be launched approved strengths of a currently marketed product.

The deal also includes one generic product under development, one pipeline generic product and one pipeline strength of a currently marketed product.

Impax said it will also take back rights from Teva to a generic version of Concerta (methylphenidate hydrochloride), which is indiaced to treat attention deficit hyperactivity disorder.

The drugs generated nearly $150m in net revenue and about $100m in gross profit last year.

Impax Laboratories president and CEO Fred Wilkinson said: "Through this transaction, we will be expanding our portfolio of difficult-to-manufacture or limited-competition products and maximizing utilization of our existing manufacturing facilities in Hayward, California and Taiwan.

"The acquisition of full commercial rights to generic Concerta provides an additional opportunity to add another valuable near term launch and accentuates the strength of our internal R&D program."

The transaction is subject to approval by the FTC of Impax as buyer of the assets and the closing of Teva’s purchase of Allergan’s worldwide generics business.

Earlier this month, Teva and Allergan divested eight generic drugs to India’s Dr Reddy’s Laboratories for $350m.

Image: Impax Laboratories has agreed to acquire a portfolio of generic drugs from Teva Pharmaceutical Industries and Allergan. Photo: courtesy of Stuart Miles at FreeDigitalPhotos.net.