When I heard the latest rumor involving a possible purchase of Allergan Inc. by GlaxoSmithKline P.L.C., I had to shake my head: Allergan was once a part of the world’s second-largest pharmaceutical company.
In 1989, Allergan was spun off by Philadelphia’s SmithKline Beckman Corp. as part of its merger with Beecham Group P.L.C.
Twenty years later, Irvine, Calif.-based Allergan is now best-known for its Botox wrinkle treatment. In fact, Allergan and GlaxoSmithKline have an agreement to bring Botox to Japan and China. Botox accounts for more than a quarter of Allergan’s $4.4 billion in annual revenues.
Neither company is commenting on the rumor, which merits attention only because of the recent M&A activity in the pharmaceutical sector. Merck & Co. agreed to buy Schering-Plough for $41.1 billion on March 9. Pfizer said in January it would buy Wyeth for $68 billion.
A couple months ago, I wrote about a New York company with local ties trying to go public.
Changing World Technologies Inc. makes renewable diesel fuel oil from turkey-processing waste and has a research lab in South Philadelphia.
Well, Changing World not only dropped plans for an initial public offering, but also filed for bankruptcy protection earlier this month.
I didn’t see how the company could sell fuel for $1.19 per gallon that cost $11.18 per gallon to make at its Missouri factory.
Given that math, is it any wonder that Changing World proved to be a turkey with investors?
Bruce D. Armon has been named managing partner of the Philadelphia office of Saul Ewing L.L.P. Armon, who specializes in corporate healthcare law, will oversee more than 100 lawyers.
He succeeds Frederick D. Strober. (David Antzis remains Saul Ewing’s managing partner.)