Mylan To Buy Famy Care Businesses For $750 Mln Plus Addl Contingent Payments

(RTTNews) - Mylan Inc. (MYL) said Monday that it has, through its Indian subsidiary Mylan Laboratories Limited, signed a definitive agreement to acquire certain female health care businesses from Famy Care Limited, a specialty women's health care company with global leadership in generic oral contraceptive products or OCPs, for $750 million in cash plus additional contingent payments of up to $50 million, contingent upon achievement of certain development and regulatory milestones.

The acquisition is expected to be immediately accretive to Mylan's adjusted diluted earnings per share and growth profile upon closing. The transaction is expected to close in the second half of 2015, subject to regulatory approvals and certain closing conditions.

Famy Care, headquartered in Mumbai, India, offers a comprehensive range of women's health products including oral and injectable contraceptives, intra-uterine devices (IUDs), tubal rings and hormone-replacement therapy products.

The transaction has been unanimously approved by both companies' boards of directors.

Under the proposed transaction structure, Famy Care will spin off its female health care businesses under a court approved scheme of demerger. Post demerger, Mylan will acquire the shares of the new resulting company.