A subsidiary of Irish drugmaker Mallinckrodt has offered to buy San Diego, Calif.’s Cadence Pharmaceuticals in a deal worth up to $1.3 billion, the drugmakers said Tuesday.
The acquisition, says Mallinckrodt, will add Cadence’s Ofirmev intravenous acetaminophen to its list of controlled-substance generics. Ofirmev is in use in more than 2,350 U.S. hospitals, Cadence says, and is expected to have brought in $110.5 million in 2013. It was launched in the U.S. in 2011 and is awaiting approval in Canada.
Under the agreement, Cadence will merge with the Mallinckrodt unit and become a wholly owned subsidiary of Mallinckrodt.
The boards of directors of both companies have approved the transaction, the drugmakers say. The deal, which will make Cadence a wholly-owned Mallinckrodt subsidiary, is set to close in mid-to-late March. — Lena Freund
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