AetraZenec paid $5 billion to acquire Amgen Inc. for $9.9 billion in cash, according to a regulatory filing.
Amgen will use the funds to acquire the drugmaker’s global portfolio of drugs and medical devices, including asthma medications.
The company also will buy the company’s business, which is closely tied to the Astra Zeneca brand, including its pharmaceuticals.
The transaction closes March 4.
Aetaben is the fourth acquisition of Astra-Zeneca this year, after the $7.7 billion acquisition of BostraZenith and the $1.6 billion acquisition last month of Mylan.
AstraZeneca is the world’s second-largest generic drugmaker with $531 billion in annual sales.
AmGen has been trying to turn around the struggling company, which has been struggling to find new revenue growth in a world where generic drugs account for more than half of the world market.
Ambu-Zenec will be the largest drug company to acquire a U.S. generic drug maker.
It was also the third-largest in Europe, after Pfizer and Astra, with sales of $1 billion.
The deal is expected to close by the end of the year.
The stock was trading at $7 a share on Friday.
AETNA’S APPROACH The Aeta acquisition is the latest in a string of deals that have allowed Amgen to boost its overall sales and boost its profitability.
Last year, Amgen sold its $50 billion pharmaceutical business, the company that sells a variety of drugs including cholesterol medication cholesterol-lowering drugs, to Amgen for $10.5 billion.
That was followed by the $10 billion purchase of the company last month, which included its drug portfolio.
This deal, which includes the Astrapure asthma drug and a new Astra ZENICA business, is Amgen’s largest acquisition to date.
Amogen, founded in 1873, has become one of the largest generic drugmakers in the world, but has struggled to find significant growth in the past decade as competitors like Pfizer, which owns AstraXpress, have grown in size and power.
The Astra group is still in its infancy, but it has grown to be a dominant player in the asthma market.
The Amgen-Amgen deal, according with the filing, will combine Amgen with Ambu, which also will be a key component of the combined company.
Ammerged with Ammerges Pharma, the combined drug company, Astra will be Amgen´s leading generic drug in the U.K. and France.
Amcom-Amin will be part of the Astamax business, and the combined business will also include Astra’s specialty business, AstroPharma, as well as other Astra brands and brands sold in Europe.
The combined company is expected in 2020 to be valued at $2.2 billion, according the filing.
AMGEN’S COSTS AND REVENUE FOR THE PURCHASE OF ADELEK The transaction will be an attractive cash infusion for the combined companies.
According to the filing for the transaction, the deal will reduce Amgen as a public company by more than $100 million.
The financial burden for the deal is largely due to the combined entity’s financial problems.
In 2019, Ambu reported a $3.3 billion loss.
That figure includes the impairment charge of $3 billion in the first half of 2020.
That loss was partially offset by an $821 million cash gain from the deal.
The loss was also partially offset, the filing said, by the sale of some of Ambu’s assets.
This transaction will allow the combined entities to continue operating as a publicly traded company, with a net worth of more than £40 billion.
AEROGENICS AMGEN HAS FUELED A $5B COSTING FOR THIS NEW CONNECTION The transaction, which takes place over a two-year period, comes after the company said it plans to spend $9 billion on new capital expenditures for the coming year.
It also comes just two weeks after Amgen announced that it will sell its business, a portfolio of assets it acquired in 2014 and 2015.
The sale is expected at the end-of-year shareholder meeting on April 18.
It is also expected to include Ambu´s assets.