Mylan To Acquire Renaissance' Specialty & Generics Business For $950 Mln In Cash

(RTTNews) - Mylan N.V. (MYL) Friday said it agreed to acquire the non-sterile, topicals-focused specialty and generics business of privately held Renaissance Acquisition Holdings, LLC for $950 million in cash. The deal includes additional contingent payments of up to $50 million, subject to customary adjustments.

Mylan expects the transaction to be immediately accretive to its adjusted earnings per share upon closing. The combination would add a complementary portfolio of approximately 25 branded and generic topical products, an active pipeline of approximately 25 products, and an established U.S. sales and marketing infrastructure targeting dermatologists. The Business had approximately $370 million in 2015 revenues and has approximately 1,200 employees.

Mylan CEO Heather Bresch "we see no impact to the leverage ratio of 3.8x debt-to-adjusted EBITDA we anticipated following the closing of the Meda transaction, and we will retain ample financial flexibility for future value-creating initiatives."

Closing of acquisition is expected to occur by the end of the third quarter of 2016. Cravath, Swaine & Moore LLP served as legal advisor in this transaction.