Proactiveinvestors United Kingdom - MSN - Healthcare & pharmaceuticals RSS feed Proactiveinvestors United Kingdom - MSN - Healthcare & pharmaceuticals feed en Fri, 19 Jan 2018 09:41:28 +0000 Genera CMS Rainmaker Resources joins the hunt for lithium in Nevada Thu, 09 Jun 2016 16:03:00 +0100 Perrigo purchases Elan for $8.6 bln Health-care products group Perrigo Co. (NYSE:PRGO) announced Monday that it had entered into a definitive agreement to buy Ireland’s Elan Corp. (NYSE:ELN) in a cash-and-stock deal valued at $8.6 billion.

Shareholders in the Dublin-headquarted biotechnology company will receive $6.24 in cash and 0.07636 shares of the new combined company, an equation which confers a value of $16.50 on each Elan share, for a premium of more than 10 per cent on Friday’s closing price. Net of cash, the transaction is valued at US$6.7 billion.

The new company, to be called New Perrigo, will be incorporated in Ireland, with shares expected to trade on the NYSE and the Tel Aviv Stock Exchange.

Shareholders in Michigan-based Perrigo will be granted shares in the new company consistent with the number of shares they hold in Perrigo as well as cash to the value of a penny a share.

Ultimately shareholders in Perrigo are set to own more than 70 per cent of the new company, with Elan shareholders expected to account for 29 per cent of shareholders at the transaction’s close.

Chairman and chief executive officer of Perrigo, Joseph C. Papa, said in a company statement released with the announcement that he believed the transaction established for his company "a diversified platform for further international expansion". 

"We believe the combination of Perrigo and Elan will create an industry-leading global healthcare company with the balance sheet liquidity and operational structure to accelerate our growth and capitalize on international market opportunities."

Elan holds a double-digit royalty claim on multiple sclerosis drug Tysabi, sold to Biogen earlier in 2013, a product which generated revenues of US$1.6 billion last year.

Chairman of Elan Robert A. Ingram said the transaction was "excellent" for shareholders in the company as it "provides them with cash consideration as well as the opportunity to benefit from the potential upside value of the new company."

The transaction is expected to close by the end of calendar 2013.

Shares in Perrigo had lost considerable ground on the New York Stock Exchange in the hours after the announcement, dropping $7.40 from previous close to hit $126.83 per share, a loss of more than 5 per cent.

Shares in Elan were up on the NYSE, adding 67 cents from prior close to trade at $15.60 per share, a gain of almost 4.5 per cent.

Mon, 29 Jul 2013 15:52:00 +0100
Perrigo to buy most of Sergeant's Pet Care Products in $285 mln deal

Perrigo Co. (NASDAQ:PRGO) said Thursday it has inked a $285 million deal to acquire most of the assets of privately-held Sergeant's Pet Care Products Inc.  

Allegan, Michigan-based Perrigo, a maker of over-the-counter cough and cold medicines, said the transaction should close by the end of the company's fiscal second quarter.  

Perrigo intends to fund the transaction using cash on hand. It also projects a tax benefit of $50 million resulting from the acquisition. 

The generic drug maker said the deal will add 20 cents to adjusted per-share profit in the first year after closing.   

"This acquisition allows us to penetrate the pet care category by offering numerous flea and tick, health, well-being and consumable products to pet owners at affordable prices," chief executive Joseph C. Papa said in release.  

Sergeant's Pet Care is based in Omaha, Nebraska and manufactures over-the-counter animal healthcare products. It is expected that Sergeant's will make over $140 million in sales during its fiscal year ending September 30, 2012.

The transaction is aligned with the company's strategy to expand into categories where Perrigo can boost its product offerings.

Perrigo's stock fell 0.39 per cent to $109.50 on the Nasdaq before the opening bell Thursday.

Thu, 13 Sep 2012 13:44:00 +0100
Perrigo shares fall as Q3 revenue falls short of analysts' forecasts Perrigo Co. (NASDAQ:PRGO) said Thursday third-quarter earnings and revenue grew, aided by new product sales and acquisitions, but sales still fell short of analyst estimates.

The U.S.-based company makes and supplies over-the-counter and prescription drugs, infant formula, nutritional products and active pharmaceutical ingredients.

It sells its products through retail drug store chains, wholesalers, distributors as well as supermarkets and mass merchandise chains.

Net earnings grew to $115.7 million, or $1.23 per share, on $778 million in revenue for the latest quarter that ended March 31.

This compared with a year-ago profit of $89 million, or 95 cents per share, on $691.5 million in revenue.

Perrigo attributed the sales gain from acquisitions and new product sales, partly offset by a decline in sales from some existing products in the consumer healthcare and nutritional segments.

Earlier this year, the company acquired all the assets of privately-held CanAm Care, a distributor of diabetes products, for about $36 million in cash.

On average, analysts had expected per-share earnings of $1.22 per share, on $827 million in sales, according to Bloomberg.

Shares were down 5.69 percent, trading at $97.87 apiece on the Nasdaq, as revenues lagged behind analysts estimates.

Perrigo’s consumer healthcare unit recorded sales of $449 million, compared to $425 million in the third quarter 2011, representing a six percent rise. The company said new product sales, primarily in the cough and cold and dermatological categories, led to the increase.

Revenue from its nutritional unit – which makes infant formula and baby foods – fell to $118 million, resulting from lower sales for vitamins, minerals and supplements.

At its Rx pharmaceutical division – which makes generic prescription drugs and creams – sales grew nearly 85 percent to $155.5 million.

The company’s API business saw sales slump 10 percent to $36.9 million, as lower demand for some products and pricing pressures crimped revenue.

Quarterly gross margins nudged up to 35.8 percent, from 34.5 percent a year earlier.

For 2012, the company raised its guidance for adjusted earnings from continuing operations. It now predicts adjusted earnings between $4.90 and $5 per share, up from its previous outlook of $4.70 to $4.80 a share. Analysts expect $4.79 per share in profits.

Tue, 08 May 2012 18:21:00 +0100
Perrigo boosts 2012 forecast as Q2 earnings rise 10% Perrigo (NASDAQ:PRGO) raised the bottom end of its 2012 earnings forecast on Tuesday, as its second quarter earnings rose ten percent from sales of its new products.

The maker of generic drugs raised the low end of its fiscal 2012 adjusted earnings forecast by five-cents per share, to a
range of $4.70 to $4.80 per share.

For the three months ended December 31, the company posted net income of $99.7 million, or $1.06 per share, up ten percent from $90.2 million, or $0.97 per share, a year earlier. Adjusted for certain one-time items, earnings rose to $1.20 per share.

Revenues for the second quarter hiked 16.8 percent to $838.2 million. The company's January 2011 acquisition of Michigan-based, privately-held Paddock Laboratories, which also manufactures generic drugs, contributed $69 million to sales, while new product sales rose to $55 million.

Analysts polled by Thomson Reuters had anticipated $1.16 per share in adjusted earnings, on $809.9 million in sales.

Perrigo's CEO Joseph C. Papa said: "We are very pleased with our performance this quarter.

"We delivered all-time record quarterly revenue, earnings and second fiscal quarter operating cash flow.

"Our recent Paddock Labs acquisition is performing ahead of our expectations, and our Consumer Healthcare, API and legacy Rx operations all contributed to the year over year growth.

"New products contributed $55 million of sales in the period, and we expect this strong momentum to continue into the second half of fiscal 2012."

Consumer healthcare sales rose 9.6 percent to $471.3 million, as new product sales rose to $26 million, largely on the success of the company's diabetes care products.

Nutritionals, however, reported a four percent decline in sales, to $128.1 million. Perrigo reported a $26 million decline in the sales of existing products, especially related to its infant formula, as its own sales were hurt when a competitor recalled a product following the death of an infant.

Still, Rx pharmaceuticals posted 81.7 percent year-over-year revenues growth, to $177.2 million, more than offsetting the decline in nutritionals, mainly on the positive results from the Paddock acquisition, which are recorded in this segment.

Perrigo's API segment boosted sales to $42.8 million, up six percent, as both existing product sales and new product sales rose $1 million each.

On the NASDAQ, shares of the Allegan, Michigan-based company rose 3.52 percent to $97.32, as of 1:06 pm EDT.

Tue, 07 Feb 2012 17:11:00 +0000
Perrigo Company to buy assets of Paddock Laboratories for $540m in cash Perrigo Company (Nasdaq: PRGO; TASE) today announced that it has agreed to acquire substantially all of the assets of Minneapolis-based Paddock Laboratories, a privately-held manufacturer of generic pharmaceutical products, for approximately $540 million in cash.

"This acquisition is an important next step forward in executing on our strategy to expand our specialty portfolio of generic Rx products. It adds incremental scale, as well as excellent development and manufacturing capabilities across a spectrum of niche dosage forms," said Perrigo chairman and CEO Joseph C. Papa.

Indeed, the deal is is expected to add more than $200 million in annual sales with over 35 products, as well as a product pipeline with more than 25 ANDAs pending approval with the U.S. FDA.

Perrigo said it intends to fund the transaction using approximately $80 million of cash on hand, $310 million available under its existing loan agreements, and $150 million from a new term loan from Morgan Stanley, JPMorgan and Bank of America.

The acquisition is expected to close during the company's fiscal 2011 fourth quarter pending regulatory approval.

Thu, 20 Jan 2011 21:02:00 +0000
Perrigo confirms filing for generic Zegerid, announces patent infringement lawsuit by Schering-Plough Healthcare supplier Perrigo Company (NASDAQ:PRGO) confirmed Friday it has filed an abbreviated new drug application with the U.S. FDA for the generic equivalent of Schering-Plough HealthCare's product, Zegerid OTC, an antacid treatment for frequent heartburn, prompting a lawsuit.

Perrigo has said that it provided Schering-Plough with prior notice of the filing, as well as to the Curators of the University of Missouri, the listed patent owner.

Earlier this week though, Schering-Plough filed suit alleging patent infringement in the United States District Court of New Jersey to prevent Perrigo from proceeding with the commercialization of the product.  Licensor Santarus and the Curators of the University of Missouri were also joined in the lawsuits as co-plaintiffs.

The U.S. District Court for the District of Delaware ruled in April this year that the same patents that are the subjects of the present case are invalid because of "obviousness".

This decision was appealed in May and a verdict is still pending.

The Perrigo product is the generic equivalent to Schering-Plough's Zegerid-OTC, a proton pump inhibitor and antacid for the treatment of frequent heartburn. Sales for the OTC brand are estimated to be approximately $60 million annualized from the most recent month.

"This filing is an example of our focus on bringing new Rx (generic prescription) to OTC switch products to market. It is a great addition to our diverse offering of gastrointestinal products," said Perrigo chairman and CEO Joseph C. Papa.

Perrigo develops, manufactures and distributes OTC and generic prescription (Rx) pharmaceuticals, infant formulas, nutritional products, active pharmaceutical ingredients and pharmaceutical and medical diagnostic products. Its primary markets and locations of manufacturing are the United States, Israel, Mexico, the United Kingdom and Australia.

The company rallied almost 4% on Friday, trading at $66.6 as of 11:45am ET on the Nasdaq.

Fri, 24 Sep 2010 21:46:00 +0100
Elan surges on FDA Advisory Committees positive commentary Thu, 09 Mar 2006 23:00:00 +0000 Rainmaker Resources has an early stage project in hot commodity lithium Chris Healey, chief executive at Toronto-listed  Rainmaker Resources Ltd, says the group is entirely focused on hot commodity lithium and has a lot of growth potential for the investor.
Its early stage project is in Nevada and quite close to Tesla's mega battery factory, he says.
This year the focus will be on defining drill targets, and "we have a clear path to the production of a preliminary economic analysis - take about 12 months to get there, budget of about US$2.3mln".

Thu, 02 Feb 2017 12:54:00 +0000