Merck KGaA sells women's health business to Teva in $368 million-euro deal; Hikma buys Baxter's injectable business for $112 million

German drug major Merck KGaA (FWB: MRK) says it is selling Theramex, its Monaco-based pharmaceutical company specialized in women’s health and gynecology, to Israeli firm Teva Pharmaceutical industries (Nasdaq: TEVA), the world’s largest generic drugmaker, which earlier this year expanded its European business with the near $5 billion acquisition of German firm Ratiopharm (The Pharma Letter March 19).

Merck has signed an agreement whereby Teva will acquire all Theramex operations including 100% of the shares of Theramex SAM of Monaco and Theramex SpA of Italy for a consideration of 265 million euros ($367.8 million). In addition, Merck will be eligible to receive certain performance-based milestone payments. Teva will have the distribution rights of Theramex products in certain countries including Spain and Brazil; Merck Serono will continue distributing Theramex products in certain other countries.

Theramex’ pipeline includes a new oral contraceptive based on natural estrogens, NOMAC/E2, which has successfully completed Phase III studies and submitted for approval in Europe. The firm’s operations are supported by an accomplished R&D team and a cost-effective active pharmaceutical ingredients facility, which produces most of the company’s API needs.