TPG to acquire Par Pharma for $1.9 billion

Par Pharmaceutical (NYSE: PRX), a USA-based maker of generic drugs and niche innovative proprietary pharmaceuticals, has entered into a definitive merger agreement to be acquired by an affiliate of private investment company TPG in a transaction with an equity value of $1.9 billion.

Under the terms of the accord, Par shareholders will receive $50 in cash for each share of Par common stock, representing a premium of about 37% over the closing share price on July 13, 2012, the last full trading day before yesterday's announcement. The deal was unanimously approved by Par's board of directors.

Par is ranked as the sixth-largest generic drugmaker by 2011 sales, which came in at $926 million, according to IMS Health, and has previously been the subject of takeover speculation. The company also sells niche brand medicines through its Strativa division.