Teva buys Allergan distributor Anda for $500m

Teva photo: Tamar Matsafi
Teva photo: Tamar Matsafi

Anda is the fourth largest distributor of generic pharmaceuticals in the US.

Teva Pharmaceutical Industries Ltd. (NYSE: TEVA; TASE: TEVA) today announced that it is buying Allergan’s Anda Inc., the 4th largest distributor of generic pharmaceuticals in the US, for $500 million.

This follows hard on the heels of yesterday's announcement that Teva had completed the acquisition of Allergan's generic division for $33.43 billion in cash and $5.3 billion in shares.

Teva President & CEO of Global Generic Medicines Siggi Olafsson said, “Anda is a natural fit into our business in general and our extensive supply chain network in particular. We believe Anda is truly a unique company which further enhances the offerings that Teva can provide. This strategic move enables us and our customers to improve capabilities and flexibility given the changes the pharmaceutical industry is currently undergoing, in order to provide access to more patients throughout the country. Additionally, both Teva and Anda’s customers will benefit from our ability as the largest producer of medicines in the world to leverage our size and scale."

Anda distributes generic, brand, specialty and over-the-counter pharmaceutical products from more than 300 manufacturers to retail independent and chain pharmacies, nursing homes, mail order pharmacies, hospitals, clinics and physician offices across the United States.

For the full year 2016, Anda is expected to generate more than $1 billion in third-party net revenue.

As part of the deal, Teva will acquire three distribution centers in Olive Branch, MS, Weston FL and Groveport, OH, with a total of over 650 employees.

Olafsson adde, “Anda will continue to operate as a stand-alone business and report directly to me. The addition of Anda and their ability to service over half of their 60,000 customers within 24 hours, combined with our existing offerings, will allow us to provide even better service to our customers.”

The closing of this transaction is subject to antitrust clearance and satisfaction of other conditions. The transaction is expected to close in the second half of 2016.

Published by Globes [online], Israel business news - www.globes-online.com - on August 3, 2016

© Copyright of Globes Publisher Itonut (1983) Ltd. 2016

Teva photo: Tamar Matsafi
Teva photo: Tamar Matsafi
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