FTC approves Amneal’s $1.45bn acquisition of Impax

The US Federal Trade Commission (FTC) has issued a final approval of Amneal’s $1.45 billion acquisition of Impax.

Yesterday, July 10, the FTC voted 5-0 to approve the final order, settling charges that the acquisition would be anti-competitive.

Amneal and Impax announced plans to merge in October last year, in a deal the companies said will create the fifth largest generics drugs business in the US.

At the time, the drug makers said their combined revenue would be more than $700 million, adding that they would employ 6,500 employees and have more than 300 products either filed with the US Food and Drug Administration or in active stages of development.

But in April this year, the FTC announced that it was requiring Impax to divest the rights and assets for ten products.

According to the FTC, without a remedy, the acquisition would probably harm future competition in US markets for seven of the generic products and harm current competition for three other products.

Under the terms of the settlement, ANI Pharmaceuticals will acquire seven products, including the rights and assets for generic aspirin and dipyridamole ER capsules, which are antiplatelet therapies used to reduce the risk of stroke.

G&W Laboratories will acquire Impax’s marketing rights to a generic fluocinonide-E cream product (a topical corticosteroid) that G&W manufactures for Impax.

In addition, Perrigo Company, a manufacturer of private label over-the-counter pharmaceuticals, will acquire Impax’s rights to two products that it had partnered with Impax to develop.

The newly-merged company will be known as Amneal Pharmaceuticals. Amneal shareholders will own 75% of the combined company, with Impax shareholders taking the remaining 25%.

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