Earlier on Wednesday, Par Pharmaceutical Companies Inc. publicized plans of wanting to purchase its competitor Anchen Pharmaceuticals in a deal worth $410 million.
According to Par, Anchen focuses on the development of “extended release and niche generic products.” With five products already on the market, the company’s two-year plans involve the release eight to 10 new “niche generic” products.
Anchen is a privately held pharmaceutical company based in Irvine, Calif., employing nearly 200 people.
Woodcliff Lake, N.J. based Par remarked that the acquisition of Anchen is expected to heighten adjusted earnings immediately. The deal will be fueled by a $350 million loan by Par.
CEO of Par, Patrick LePore, made a statement that the acquisition is expected to more than double up Par’s “product opportunities.” Par is said to complete and close the deal by the end of the year.
According to a report by Par earlier this month, the company’s second-quarter income declined 12% and net income plummeted 51%, not matching up to the analysts’ approximations.