Shares of Sagent Pharmaceuticals Inc. (SGNT), soared nearly 40% today after the drug maker agreed to be acquired by Japan-based Nichi-Iko Pharmaceutical Co. Ltd. The acquisition price represents a premium of approximately 40% to Sagent’s closing price of $15.50 per share on July 8, 2016.
The merger deal brings together two leading companies in the generics market with highly complementary portfolios, creating stronger growth opportunities for each business. The transaction enhances Nichi-Iko’s platform in the U.S. market to commercialize its biosimilar product pipeline and increase its presence in injectables. Through the acquisition, Nichi-Iko will raise its profile in the domestic and international generics market and advance the company’s goal of becoming a Top 10 global leader in generics.
Sagent will benefit from Nichi-Iko’s portfolio of both biosimilars under development and injectable products, further enhancing its competitiveness in the U.S. market – the largest generic drug market in the world. The deal will also give Sagent access to Nichi-Iko’s sophisticated manufacturing infrastructure and industry-leading quality control systems, and enable it to bring high quality, cost-effective generic medicines to more patients. No changes to Sagent’s current operations are currently anticipated and Nichi-Iko expects that Sagent’s current management team will continue to lead Sagent from its headquarters in Schaumburg, Illinois.
Sagent Pharmaceuticals, Inc. is a specialty and generic pharmaceutical company. The company is a provider of pharmaceuticals to the hospital market, which it sells primarily throughout North America. It is focused on developing, manufacturing, sourcing and marketing injectable pharmaceutical products to the hospital market. It operates through two segments: Sagent US, consisting of the company’s operations in the United States and the Sagent (China) Pharmaceuticals Co. Ltd. (SCP) manufacturing facility, and Omega, which is focused on the Canadian and international markets. It offers a range of products across anti-infective, oncology and critical care indications in a range of presentations, including single and multi-dose vials, pre-filled ready-to-use syringes and premix bags. Its Sagent US product portfolio includes approximately 60 marketed products that it offers in over 180 presentations, and its Omega segment offers over 50 products.
Congrats to all Sagent Pharmaceutical shareholders.
Drug Stock News 