Perrigo buys Mexico pharma operation for $34M
Perrigo has bought the Mexico operations of Pantheon Pharmaceuticals, expanding its business in that country and giving it the ability to make drugs in soft gel form.
Dublin-based Perrigo, which operates its North American base in Allegan, said yesterday it paid $34 million for the Pantheon business. It already has 10 manufacturing facilities and about 1,200 employees in Mexico.
Perrigo Co. makes over-the-counter medicines, generic drugs, nutritional products and infant formulas, often sold under store brand names.
The company reported $1.05 billion in revenue in its latest fiscal quarter. Most of its sales come from the U.S.
The move comes with Perrigo the target of a potential acquisition.
Generic drug maker Mylan NV in the Netherlands wants to buy Perrigo and has made three offers for the company. The third was worth $34.1 billion in cash and stock, which Mylan said valued Perrigo at $232.23 per share. Perrigo has rejected both offers, saying they're too low and not worth as much as Mylan says.
Mylan said buying Perrigo would help it enter new markets in Mexico, Israel and Russia.
Mylan, meanwhile, is trying to fend off an acquisition by larger competitor Teva Pharmaceutical Industries Ltd. Teva has offered to buy Mylan for $40.1 billion, but Mylan has rejected that offer.
Shares of Perrigo rose 92 cents to $194.50 in afternoon trading on Tuesday.