Perrigo acquires ophthalmic portfolio from Fera Pharma for initial $93 million

Generic drugmaker Perrigo (NYSE: PRGO) says it has signed a definitive agreement to acquire and has completed the acquisition of an ophthalmic sterile ointment and solution Abbreviated New Drug Application product portfolio from fellow USA-based privately held Fera Pharmaceuticals.

The acquired portfolio, including nine prescription ANDA products, generated more than $30 million in net revenues during calendar year 2012. Terms of the transaction include an upfront cash payment of around $93 million along with potential contingent payments totaling about $36 million, certain of which relate to Perrigo securing additional product rights from Fera. Additionally, Perrigo expects to receive a tax benefit as a result of the acquisition, the net present value of which is estimated to be around $20 million.

This acquisition is expected to be more than $0.12 accretive to adjusted earnings per share for fiscal 2014 and more than $0.04 accretive to GAAP EPS after the inclusion of estimates for intangible amortization, transaction and integration related expenses.