AbbVie to Acquire Allergan for $63B

U.S.-based AbbVie, Inc. has reached a deal to acquire Irish pharmaceutical company Allergan PLC for about $63 billion, according to an AbbVie press release from Tuesday.  The “definitive transaction agreement” includes both cash and stock.  According to the press release, it is expected that, immediately after the closing of the Acquisition, AbbVie Shareholders will own approximately 83% of AbbVie on a fully diluted basis and the Allergan Shareholders will own approximately 17% of AbbVie on a fully diluted basis.

Abbvie and Allergan have been involved in several biosimilar and biologic litigations.  Abbvie’s Humira® (adalimumab) product faces biosimilar competition from half a dozen competitors beginning in 2023 as a result of settlements in BPCIA litigations.  Allergan has partnered with Amgen to develop a rituximab biosimilar and is currently engaged in an ITC enforcement proceeding related to its Botox® (onabotulinumtoxinA injection) product.