Lumara Health to be acquired in two separate deals for up to $1.107 billion

29 September 2014

Closely-held USA-based Lumara Health (previously K-V Pharmaceutical) today announced that it has entered into two separate definitive agreements for the sale of its Maternal Health business and separately, the sale of its Women’s Healthcare assets.

Amag Pharmaceuticals (Nasdaq: AMAG) will acquire Lumara Health Inc and its wholly-owned subsidiaries, including its flagship product, Makena (hydroxyprogesterone caproate injection), for $675 million (consisting of $600 million in cash and 3,209,971 newly-issued shares of AMAG Pharmaceuticals) and additional contingent consideration of up to $350 million based on achievement of certain sales milestones.

Makena, used to reduce the risk of preterm birth in pregnant women, generated more than $130 million in sales over the 12-month period that ended August 31. Amag’s shares rose more than 15%, to $26.75 more than an hour before markets opened Monday.

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