Meda has signed an agreement to acquire the US specialty pharmaceutical
company Alaven. The acquisition will significantly enhance Meda's
marketing capabilities in the US and expand the therapeutic focus to
include both gastroenterology and women's health; areas that Meda
already operates in outside of the US.

In addition, Alaven has a
strategic OTC platform that accounts for approximately 25 per cent of
sales. The OTC business will further diversify Meda's revenue base in
the US, as well as serve as a platform for commercializing strategic
pipeline opportunities.

Since its founding, Alaven has
demonstrated steady increases in sales by combining acquisition of
strategic assets, organic growth on current products and efficient line
extensions. Annual sales are approximately 800 MSEK with EBITDA margins
that are similar to Meda's. Alaven has approximately 180 employees, of
which 150 are dedicated to marketing and sales. All manufacturing is
outsourced to third parties.

Alaven's diversified product
portfolio consists of several well known brands. The largest product,
Proctofoam (rectal inflammation), has an annual turnover of about 25
MUSD. Other significant products include Cortifoam (ulcerative
proctitis), Epifoam (primarily indicated for pain from episiotomy),
Levsin (antispasmodic agent, adjunctive therapy in treatment of peptic
ulcers), Rowasa (distal ulcerative colitis), TriLyte (colonoscopy
preparation) and the Prefera brand of prenatal vitamins. In addition,
Alaven has several development opportunities which are expected to
launch over the next three years.

"Alaven's products and
business model are very similar to Meda's and we look forward to
integrating their proven capabilities. The acquisition of Alaven
enables our operations in the US to become stronger and more profitable
by taking advantage of cost and marketing synergies. It is not easy to
find US specialty pharma companies of this caliber, therefore we are
very pleased", said Meda CEO Anders Lönner.

Meda will pay 350
MUSD on a cash and debt free basis. Net debt is estimated to 63 MUSD.
The acquisition of Alaven is expected to be accretive to Meda's
earnings per share already during 2011. The transaction is fully
financed by Meda's existing credit facilities. Closing of the
transaction is subject to standard closing requirements and antitrust
clearance from the US Federal Trade Commission. The acquisition of
Alaven is expected to be completed by early October.

MEDA AB
(publ) is a leading international specialty pharma company. Meda's
products are sold in 120 countries worldwide and the company is
represented by its own organizations in 50 countries.