Pharma BD Deal Intelligence

UCB SA / Schwarz Pharma AG

2006 · Acquisition/Merger · $5.6B · Complete

CALLED IT — OFF BY 8

The deal that built modern UCB neurology — Vimpat became a genuine blockbuster, but a 2008 product recall and two years of profit collapse show it was far from a clean win

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The coverage arc

Sep 25, 2006 C&EN (Chemical & Engineering News) Bullish

Deal positions UCB as a focused mid-cap CNS specialist; family-controlled Schwarz (~60% holding) backed the friendly takeover, bringing late-stage Neupro and…

Sep 25, 2006 UCB Investor Relations Bullish

UCB to acquire Schwarz Pharma at €91.1/share (€50 cash + 0.8735 UCB share), valuing Schwarz at €4.4B; expected synergies >€300M annually after 3 years;…

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CNS (Parkinson's, epilepsy, RLS); EUR 4.4B; lacosamide pipeline

Did it work? Outcome assessment

The deal that built modern UCB neurology — Vimpat became a genuine blockbuster, but a 2008 product recall and two years of profit collapse show it was far from a clean win

Strategic verdict
Achieved Stated Rationale

Key facts

Related deals — scored

DealYearValueOutcome
UCB SA / Schwarz Pharma AG (this deal)2006$5.6B80
UCB SA / Celltech Group plc2004$2.7B92
Eli Lilly and Company / ICOS Corporation2006$2.3B87
Crucell N.V. / Berna Biotech AG2006$450M85
Lonza Group AG / Cambrex Bioproducts and Biopharma businesses2006$460M83
Reckitt Benckiser plc / Boots Healthcare International2006$3.4B82
Genentech, Inc. (Roche Group) / Tanox Inc.2006$919M80

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