Pfizer and Hospira have entered into a definitive merger agreement under which Pfizer will acquire Hospira
Pfizer and Hospira have entered into a definitive merger agreement under which Pfizer will acquire Hospira, a leading provider of injectable drugs and infusion technologies and a global leader in biosimilars, for approximately US$17bn.
The Boards of Directors of both companies have unanimously approved the merger.
'Hospira’s business aligns well with our new commercial structure and is an excellent strategic fit for our Global Established Pharmaceutical (GEP) business, which will benefit from a significantly enhanced product portfolio in growing markets,' said Ian Read, Chairman and Chief Executive Officer, Pfizer. 'Coupled with Pfizer’s global reach, Hospira is expected to drive greater sustainability for our Global Established Pharmaceutical business over the long term.'
This strategically complementary combination will add a growing revenue stream and a platform for growth for Pfizer’s GEP business. The expanded portfolio of sterile injectable pharmaceuticals, comprising Hospira’s broad generic sterile injectables product line, including acute care and oncology injectables, with a number of differentiated presentations, as well as its biosimilars portfolio, combined with GEP’s branded sterile injectables, including anti-infectives, anti-inflammatories and cytotoxics, will create a leading global sterile injectables business, the company says.
The combination also reinforces GEP’s growth strategy to build a broad portfolio of biosimilars in Pfizer’s therapeutic areas of strength through the addition of Hospira’s portfolio that includes several marketed biosimilars. Pfizer will also use its existing commercial capabilities, global scale, scientific expertise and world class development capabilities to significantly expand the reach of Hospira’s products, which are currently distributed primarily in the United States, to Europe and key emerging markets.
'The addition of Hospira has the potential to fundamentally improve the growth trajectory of the Global Established Pharmaceutical business, vault it into a leadership position in the large and growing off-patent sterile injectables marketplace by combining the specialised talent and capabilities of both companies, including enhanced manufacturing, and advance its goal to be among the world’s most pre-eminent biosimilars providers,' said John Young, group president, Pfizer Global Established Pharmaceutical business.
'The Pfizer-Hospira combination is an excellent strategic fit, presenting a unique opportunity to leverage the complementary strengths of our robust portfolios and rich pipelines,' said F. Michael Ball, Chief Executive Officer of Hospira.