Pharma BD Deal Intelligence

Actavis plc / Warner Chilcott plc

2013 · Acquisition/Merger · $8.5B · Complete

CALLED IT — OFF BY 8
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The coverage arc

May 20, 2013 CBS News (Susquehanna & Morningstar cited) Neutral

Susquehanna's Andrew Finkelstein said the deal would give Actavis 'an earnings jolt' starting next year; Morningstar's Michael Waterhouse: 'we're probably not…

May 20, 2013 Phys.org (AP wire) Neutral

Actavis is buying Warner Chilcott in an all-stock deal valued at about $8.5 billion that would create the third-biggest specialty pharmaceutical company in the…

Oct 31, 2013 FTC / Federal Register Neutral

FTC consent order required divestiture of overlapping products including oral contraceptive Lo Loestrin Fe generic equivalents to remedy competitive concerns —…

Source summaries from our enrichment pipeline; follow links for originals.

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Actavis acquired Warner Chilcott in a stock-for-stock transaction valued at approximately $8.5 billion, creating Actavis plc, an Ireland-domiciled specialty pharmaceutical company with roughly $11 billion in pro forma revenue. The transaction established the Irish tax-inversion structure later used for the Forest Laboratories acquisition.

Did it work? Outcome assessment

Strategic verdict
Achieved Stated Rationale
Financial impact
Accretive
Pipeline outcome
Mixed

Key facts

Related deals — scored

DealYearValueOutcome
Actavis plc / Warner Chilcott plc (this deal)2013$8.5B63
Actavis plc / Forest Laboratories, Inc.2014$25.0B75
Actavis plc / Allergan plc2014$70.5B61
Ciba-Geigy AG / Sandoz AG1996$36.3B98
Sanofi SA / Regeneron Pharmaceuticals, Inc.2007$1.0B97
AbbVie Inc. / Boehringer Ingelheim GmbH2016$2.2B95
Amgen Inc. / Immunex Corporation2001$16.0B91

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