Watson Pharmaceuticals close to buying Actavis for around $7 bn: report

US generic drug maker Watson Pharmaceuticals Inc is close to buying Swiss rival Actavis, for around $7 billion (€5.3 billion), its biggest acquisition to date, Reuters yesterday reported, citing three sources familiar with the matter.

Watson, the fifth-largest pharmaceutical company in the US, will pay between €5 billion and €5.5 billion ($6.6-7.3 billion) for Actavis, which itself has made 25 acquisitions since its founding in 1965.

Actavis, which has grown mainly through acquisitions, has one of the broadest product portfolios and strongest pipelines in the generics industry.

It has around 830 products in the market, and over 330 products under development and pending registration.

The Zug, Switzerland-based company operates in about 40 countries and has modern development and manufacturing facilities in Europe, the US and Asia producing a variety of medicines in different formulations including tablets, capsules, injectables, steriles, suppositories, sprays, powders, oral liquids and semi-solids.

New Jersey-based Watson, which holds the rights to make Pfizer's cholesterol blockbuster drug Lipitor and competes with Teva Pharmaceutical, Mylan Inc and Ranbaxy Laboratories, will expand in Europe with the acquisition of Actavis.