In $1.55 Billion Deal, Perrigo Sells Off Generic Drug Business

Over-the-counter drugmaker Perrigo said this week it is selling its generic prescription drug business to Altaris Capital Partners for $1.55 billion.

The purchaser is paying $1.5 billion in cash and taking on more than $50 million in potential R&D milestone payments and contingent purchase obligations with third-party prescription partners.

Perrigo is transforming itself into a “consumer self-care” business, according to Murray Kessler, president and CEO of the Dublin, Ireland-based company. Coming out of the sale, he said, Perrigo “will have a focused portfolio with over $4 billion in revenues focused on the growing trends toward self-managed health and wellness.”

Perrigo said its prescription generics business specializes in “extended topical” medications in multiple dosage forms, including creams, foams, mousses, gels, liquids and inhalable products.