Actavis plc and Forest Laboratories, Inc announced that the US Federal Trade Commission (FTC) has voted to approve Actavis' proposed acquisition of Forest. The vote in support of the transaction follows Actavis and Forest's agreement to a proposed consent order, pursuant to which the companies have agreed to divest certain products as a condition to obtaining FTC approval. The closing of the transaction remains subject to other customary closing conditions, and is expected to be effective on July 1, 2014.
Under the terms of the consent order with the FTC and subject to the consummation of the transaction between Actavis and Forest, Actavis will divest two approved applications to Impax Laboratories, Inc.: Lamotrigine orally disintegrating tablets (ODT) and Ursodiol tablets.
Forest will divest its approved application and manufacturing rights for propranolol extended release capsules to an affiliate of Catalent Pharma Solutions. The product will continue to be marketed by Breckenridge Pharmaceutical, Inc. In addition, Forest will end its licence and supply agreement with Valeant Pharmaceuticals Inc. for the generic version of Tiazac (diltiazem). Separate from the consent order, but still subject to the consummation of the Actavis and Forest transaction, Forest has also agreed to end its license and supply agreement on the brand version of Tiazac, returning full rights to the product to Valeant. Other terms of the divestitures were not disclosed.