Pharma BD Deal Intelligence

Fresenius Kabi AG / Akorn, Inc.

2017 · Acquisition/Merger · $4.8B · Terminated

Outcome grade pending — assessed 5 years post-close.

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The coverage arc

Apr 24, 2017 BioPharma Dive Bullish

BioPharma Dive framed the original $4.3B Akorn deal as a strategic generics consolidation play that would extend Fresenius Kabi into ophthalmics and topicals —…

May 01, 2018 Seeking Alpha Bearish

Seeking Alpha contributor analysis described the Akorn-Fresenius merger fallout as a high-risk arbitrage situation that broke decisively against shareholders,…

Oct 01, 2018 FiercePharma Bearish

FiercePharma covered the Delaware Chancery ruling, noting Vice Chancellor Laster's finding that Akorn's 'extensive and recurring' FDA data integrity problems…

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Fresenius Kabi agreed to acquire Akorn for $34.00/share in cash, an enterprise value of approximately $4.75B (~$4.3B equity). The deal would have expanded Fresenius Kabi's U.S. specialty generics injectables and ophthalmic franchise. Fresenius terminated the merger in April 2018 over alleged Akorn FDA data integrity breaches; Delaware Chancery Court upheld termination via material adverse effect ruling in October 2018.

Key facts

Related deals — scored

DealYearValueOutcome
Fresenius Kabi AG / Akorn, Inc. (this deal)2017$4.8B
Watson Pharmaceuticals (Actavis Inc.) / Actavis plc2012$5.9B97
Kohlberg Kravis Roberts & Co. / PRA International (Genstar Capital)2013$1.3B91
Stryker Corporation / MAKO Surgical Corp.2013$1.6B91
Quintiles Transnational Holdings Inc. / IMS Health Holdings, Inc.2016$17.6B91
DPx Holdings B.V. (JLL Partners 51% / Royal DSM 49%) / Patheon Inc. + DSM Pharmaceutical Products2013$2.6B90
Pamplona Capital Management, LLP / PAREXEL International Corporation2017$5.0B90

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