McKesson Corporation has agreed to acquire UDG Healthcare's pharmaceutical distribution division based in Northern Ireland (United Drug Sangers) and the Republic of Ireland (United Drug) and home and travel healthcare businesses division, for approximately EUR 408 million ($632.4 million) cash.

Under the agreement, McKesson will acquire: United Drug and United Drug Sangers, which are wholesale operations across the Republic of Ireland and Northern Ireland; TCP, a home healthcare provider in the Republic of Ireland; and MASTA, UDG's travel healthcare business based in the United Kingdom.

The acquisition is subject to UDG shareholder approval and EU competition clearance, among other customary closing conditions and is expected to close in the first half of 2016.

More than 1,000 UDG employees will join McKesson as part of the acquisition. The acquired operations will be reported as part of McKesson's International Pharmaceutical Distribution and Services business under the leadership of Marc Owen, chairman of the Management Board at Celesio AG, the European business within McKesson's Distribution Solutions segment.

Source: McKesson