Watson Pharmaceuticals, Inc, a leading specialty pharmaceutical company, announced a definitive agreement to acquire a portfolio of generic pharmaceutical products that are being divested as a result of the proposed merger between Teva Pharmaceutical Industries, Ltd and Barr Pharmaceuticals, Inc. The closing of the product acquisition is contingent upon the consummation of Teva's merger with Barr.
The portfolio of products consists of 17 products, including 15 FDA-approved products and two development-stage products. Key products in the portfolio include Cyclosporine Capsules and Liquid; Desmopressin Acetate Tablets; Glipizide/Metformin HCl Tablets; Mirtazapine Orally Disintegrating Tablets and Metoclopramide HCl Tablets.
"These products represent a sound complement to our extensive generics portfolio," said Paul Bisaro, president and chief executive officer of Watson. He added, "We anticipate these new generics will have immediate value that we will begin to realize in early 2009."
Under the terms of the agreement, Watson will acquire the portfolio of products for an upfront payment of $36 million and will make additional payments to Teva when certain milestones are met on the development-stage products. Teva will supply the products to Watson under a Manufacturing and Supply Agreement until manufacturing is transferred to Watson or a third party.