Actavis Completes $28 Billion Acquisition of Forest LaboratoriesBy
Actavis plc has completed the acquisition of Forest Laboratories, Inc. in a cash and equity transaction valued at approximately $28 billion. The combination creates a specialty pharmaceutical company with annual revenues of more than $15 billion anticipated for 2015.
In conjunction with the close of the acquisition, Paul Bisaro, formerly chairman and CEO of Actavis, has been named to the position of executive chairman of Actavis. Brent Saunders, formerly CEO and president of Forest, has been named CEO and president of
In addition to Saunders, the new members of the Actavis board are Nesli Basgoz, M.D., and Christopher J. Coughlin, both of whom are former members of the Forest board. Current Actavis board members Paul M. Bisaro, James H. Bloem, Christopher W. Bodine,Tamar D. Howson, John A. King, Catherine M. Klema, Jiri Michal, Patrick J. O’Sullivan, Ronald R. Taylor, Andrew L. Turner, and Fred G. Weiss will continue as members of the new Actavis board. The board changes are effective until Actavis’ next annual meeting of shareholders in May 2015. Actavis also announced that Sigurdur Olafsson has resigned from the company’s board of directors. The new board will have several standing committees, including Audit and Compliance, Compensation, Nominating and Corporate Governance, and Operations and Innovation.
â€‹Actavis continues to expect the transaction to generate double-digit accretion in 2015 and 2016, including approximately
On a pro forma combined basis for full year 2014,
The transaction strengthens
Source: Actavis (Forest Laboratories closing) and Actavis (board appointments)