Sunday, August 2, 2015

Endo to pay $225 million for specialty generic drugmaker Boca Pharmacal

Endo Health Solutions said Wednesday morning it will pay $225 million in cash for the private company Boca Pharmacal, which makes specialty generic medicine.

Endo to pay $225 million for specialty generic drugmaker Boca Pharmacal

0 comments

Endo Health Solutions said Wednesday morning it will pay $225 million in cash for the private company Boca Pharmacal, which makes specialty generic medicine.

Endo already had a brand-name drug division and a generic component, both of which produced medicines that included opioid painkillers. Such painkillers are controlled substances, regulated in the United States by both the Food and Drug Administration and the Drug Enforcement Administration.

Endo's generic division is called Qualitest and this deal will add to Qualitest's pipeline of products. Endo described Boca Pharmacal's focus as being on "niche areas, commercializing and developing products in categories that include: controlled substances, semisolids, and solutions."

Endo recently moved into a new headquarters in Malvern, but the company is facing challenges on several fronts. Once closed, this acquisition is meant to immediately produce revenue for Endo. In its statement, Endo said, on a stand-alone basis, Boca Pharmacal is expected to generate earnings before interest, taxes depreciation and amortization of approximately $50 million in full year 2013.

"The acquisition of Boca Pharmacal is the first of several transactions we plan to execute as we transform Endo into a more focused specialty healthcare company with a lean operating model, able to deliver consistent earnings and revenue growth for our shareholders," Endo President and Chief Executive Officer Rajiv De Silva said in a statement. "The acquisition is aligned with our current generics footprint and will meaningfully accelerate the growth of Qualitest in 2014. I believe that the revenue and earnings contribution of this transaction, combined with the unique commercial portfolio and strong pipeline of ANDAs [abbreviated new drug application], make this an ideal fit."

 

0 comments
We encourage respectful comments but reserve the right to delete anything that doesn't contribute to an engaging dialogue.
Help us moderate this thread by flagging comments that violate our guidelines.

Comment policy:

Philly.com comments are intended to be civil, friendly conversations. Please treat other participants with respect and in a way that you would want to be treated. You are responsible for what you say. And please, stay on topic. If you see an objectionable post, please report it to us using the "Report Abuse" option.

Please note that comments are monitored by Philly.com staff. We reserve the right at all times to remove any information or materials that are unlawful, threatening, abusive, libelous, defamatory, obscene, vulgar, pornographic, profane, indecent or otherwise objectionable. Personal attacks, especially on other participants, are not permitted. We reserve the right to permanently block any user who violates these terms and conditions.

Additionally comments that are long, have multiple paragraph breaks, include code, or include hyperlinks may not be posted.

Read 0 comments
 
comments powered by Disqus
About this blog
David Sell blogs about the region's pharmaceutical industry. Follow him on Facebook.

For Inquirer.com. Portions of this blog may also be found in the Inquirer's Sunday Health Section.

Reach David at dsell@phillynews.com.

David Sell
Also on Philly.com:
letter icon Newsletter