The FINANCIAL — Teva Pharmaceutical Industries Ltd., on August 3 announced that it has entered into a definitive agreement to purchase Allergan’s Anda Inc., the 4th largest distributor of generic pharmaceuticals in the U.S. for $500 million.
“Anda is a natural fit into our business in general and our extensive supply chain network in particular,” stated Siggi Olafsson, President & CEO of Global Generic Medicines. “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.”
“Joining Teva opens a new world of possibilities for Anda, especially as the appropriate utilization of generic medicines remains the most effective means by which to ensure broad patient access,” stated Charles D. Phillips, President & CEO of Anda. “We look forward to the opportunity to utilize the Teva network to the advantage of our customers and patients across the country.”
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, according to Teva.
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 continued, “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.