Amneal signs deal to acquire generics business in Australia

Privately-held US generics drugmaker Amneal Pharmaceuticals and the Australian subsidiary of Actavis (NYSE: ACT) have signed a binding letter of intent which provides that Amneal intends to acquire substantially all of Actavis’ in-country generic pharmaceuticals business for an agreed price, subject to completion of confirmatory due diligence and definitive agreements.

Financial terms of the deal were not made available. However, both sides have agreed to work expeditiously to complete the transaction with the goal of preventing disruption of supply to existing purchasers of Actavis’ products.

Actavis will continue to supply the Australian market with these generic medicines on the Pharmaceutical Benefits Scheme (PBS) and fulfill supply commitments for all hospital tenders until this transition is complete.