Pfizer pays $17bn to buy Hospira: As seen in the Telegraph.
Pfizer has struck it's first deal of the year by purchasing biosimilar and injectables maker Hospira.
Pfizer has struck a $17bn deal to buy smaller rival Hospira, it’s first major deal since their play for AstraZeneca collapsed last year.
Pfizer had made some smaller acquisitions since walking away from AstraZeneca last year, but the size of the Hospira deal is likely to demolish any residual expectations that the US drug maker will return for a second try.
Hospira specialises in biosimilars, which are copycat versions of so-called “biologics”, which are drugs manufactured by living cells, rather than in the test tube. Unlike standard generic drugs, which are exact replicas of the medicines they copy, biosimilars may vary from the original since imitation is much more difficult when living cells are involved. The big five branded biologic treatments generated sales of around $30bn last year, according to analysts at Datamonitor Healthcare.
Giles Somers, lead generics and biosimliars analyst at Datamonitor Healthcare said: “In addition to the pure monetary value of existing generics sales and pipeline products, Hospira will offer Pfizer manufacturing, distribution and marketing capabilities that fit well with its Established Products division. I would imagine that once Hospira has been brought in and restructured, spinning-off the generics business becomes a more likely prospect.”
To read the full article by Denise Roland at The Telegraphic click here.
Posted in Biosimilars.