Pharmaceutical giant Pfizer announced yesterday that it would purchase Hospira for about $15 billion to boost its growing portfolio of injectable drugs and copies of biotech drugs or biosimilars.
Pfizer offered $90 per share in cash, a premium to Hospira’s closing stock price last Wednesday. The deal is the largest since it failed to takeover of London Stock Exchange-listed, British pharma giant AstraZeneca, which remained a takeover target. The $117 billion deal would have created the world’s largest pharma company and enacted the biggest foreign takeover of a British firm.
Pfizer said the move proved its commitment to deliver revenue and earnings per share growth in the short term. The move will also advance Pfizer’s “business in established drugs, or those not covered by patents.” Hospira is an Illinois, US-based pharmaceutical and medical device company. It is the “world’s largest maker of generic injectable pharmaceuticals, manufacturing generic acute-care and oncology injectables, as well as integrated infusion therapy and medication management systems.”
Founded in 1849 by cousins Charles Pfizer and Charles F. Erhart, Pfizer is an American multinational pharmaceutical company that is based in New York City, and research headquarters in Groton, Connecticut. It is one of the largest pharmaceutical companies in the world in terms of revenues.
Pfizer develops and produces vaccines and medicines for a wide variety of medical disciplines, including immunology, cardiology, diabetology/endocrinology, oncology, and neurology. Pfizer’s well-known products include Lipitor, Lyrica, Diflucan, Zithromax, Prevnar, Norvasc, Flagyl, Zoloft, Viagra, Selzentry, Zyvox, Advil, and Celebrex/Celebra.
Pfizer has done numerous acquisitions, including Warner–Lambert in 2000, Pharmacia in 2003 Wyeth in 2009, King Pharma in 2010, and Innopharma in 2011. On January 5, 2015, the company announced that it would acquire a controlling interest in Redvax.
Pfizer is New York Stock Exchange-listed and part of the Dow Jones Industrial Average since April 2004.