Teva Acquires Mexico-Based Rimsa for $2.3 Billion

Teva is expanding its footprint in emerging markets with the $2.3 billion purchase of Mexico-based Representaciones e Investigaciones Medicas, or Rimsa, a specialty drugmaker with a portfolio of products and patents across Latin America.

The buyout, expected to close by the first quarter of 2016, will make Teva a leading pharmaceutical player in Mexico — the second largest market in the region and a top-five emerging market globally.

Teva President and CEO Erez Vigodman touted the deal’s numerous pluses, including Rimsa’s line of fixed-dose combination drugs. The Israeli drugmaker will use Rimsa’s well-established sales presence to introduce Teva’s brand and generic medicines in Mexico and Latin America.

Rimsa had sales of $227 million in 2014, with annual growth of 10.6 percent since 2011, according to Teva. The deal is expected to impact earnings starting in the first quarter of 2017.

This is Teva’s second multibillion acquisition in the past three months. The drugmaker’s $40.5 billion purchase of Allergan’s generic division is also expected to close in the first quarter of next year and will cement Teva’s position as the world’s largest generics drugmaker. — Kellen Owings