Mylan goes big with $29 billion offer to buy Perrigo

Laura Lorenzetti

<p>Generic drugmaker Mylan has proposed buying Perrigo for about $29 billion in cash and stock in what would be the biggest pharmaceutical deal of the year so far.</p><div class="paywall-selector"></div><div class="paywall">
<p>Mylan (MYL) will pay <a href="http://www.mylan.com/news/press-releases/item?id=123296" target="_blank">$205 per share in cash and stock</a> for the Ireland-based drugmaker, representing a 24.2% premium over its closing price Tuesday. The deal would create a generic medicine powerhouse, giving the combined company critical mass in specialty brands, generics, and over-the-counter and nutritional products. Together, the two companies would have about $15.3 billion in 2014 sales.</p>
<p>&#8220;This proposal is the culmination of a number of prior discussions between Mylan and Perrigo about the compelling strategic and financial logic of this combination,&#8221; Robert Coury, Mylan&#8217;s executive chairman, said in a statement.</p>
<p>This is Mylan&#8217;s second deal in nine months. The UK-based drugmaker <a href="https://fortune.com/2014/07/14/mylan-abbott-deal/" target="_blank">acquired Abbott Laboratories</a> in July for $5.3 billion, intending to move its tax address to the Netherlands. Perrigo (PRGO) made a similar move in 2013 when it relocated its tax headquarters to Dublin after purchasing Elan Corp.</p>
<p>&#8220;It has been thought for quite some time that Perrigo is a takeover target,&#8221; Morningstar analyst Michael Waterhouse said.</p>
<p>&#8220;What will be interesting to see is if we end up in a bidding war,&#8221; Waterhouse said, suggesting Teva Pharmaceutical Industries and Valeant Pharmaceuticals International as potential rival bidders.</p>
<p>The proposal is subject to approval by Perrigo&#8217;s board.</p>
<p><em>—Reuters contributed to this report.</em></p></div>

The deal would be the biggest pharmaceutical deal of the year and create a generic medicine powerhouse.

legacy

Finance

Features

Tech

Mylan goes big with $29 billion offer to buy Perrigo | Fortune

Claire Ballentine

Bloomberg

new graduate with head down sitting on stairs

U.S. student loan rate set to be 6.39%, extending borrower squeeze

/article/us-student-loan-rate-extending-borrower-squeeze/

Paolo Confino

A cargo ship carrying foreign trade containers in China

Trump’s tariffs have reportedly caused an up to 50% plummet in exports at some ports, and goods expected to arrive in the next month ‘simply won’t’

/2025/05/06/trump-tariffs-exports-plummet-ports/

Glen Luke Flanagan

How many savings accounts should you have? Here’s what the experts say

/article/how-many-savings-accounts/

Greg McKenna

Alex Karp spreads both his arms out as he talks on stage.

Defense contractor Palantir says a ‘massive cultural shift in the U.S.’ has justified 20 years of thankless toil. ‘We were the freak show … and we spent 20 years for this moment’

/2025/05/06/palantir-cultural-shift-us-justified-20-years-thankless-toil-freak-show/

Shawn Tully

How Greg Abel may run Berkshire Hathaway differently than Warren Buffett

/article/who-is-greg-abel-berkshire-hathaway-stock-warren-buffett-management-style/

Shruti Srivastava

Joe Mayes

U.K., India seal trade deal amid fallout of Trump tariff wars

/article/uk-india-seal-trade-deal-amid-fallout-of-trump-tariff-wars/

Emma Burleigh

This entrepreneurial couple cashed out their 401(k)s and sold a $126 million company—now they run a U.K. soccer team

https://fortune.com/article/entreprenurial-couple-sell-110-million-company-uk-soccer-teams-breweries/?itm_source=parsely-api

Christiaan Hetzner

Amid its worst ever crisis, Tesla offers discounts on its bestselling car just weeks after new Model Y launch

https://fortune.com/2025/05/06/elon-musk-tesla-model-y-refresh-discount-financing-rates-demand-crisis/?itm_source=parsely-api

Chris Morris

The hedge fund legend who predicted Black Monday sounds a new market warning, saying stocks will 'go down to new lows'

https://fortune.com/article/paul-tudor-jones-market-warning-tariffs/?itm_source=parsely-api

Catherine McGrath

A North Korean agent applied for a job at a popular crypto firm: They tripped him up with a simple question about Halloween

https://fortune.com/crypto/2025/05/03/north-korean-applied-job-crypto-kraken-it-worker/?itm_source=parsely-api

Brit Morse

A law associate making $300,000 a year at Skadden Arps quit over the firm's deal with Donald Trump

https://fortune.com/article/rachel-cohen-making-300k-year-law-associate-skadden-arps-quit-protest-firms-deal-trump/?itm_source=parsely-api

Alicia Adamczyk

Millions of student loan borrowers head to collections as delinquency rates soar over 20%

https://fortune.com/2025/05/05/student-loans-collections-delinquency-credit-scores-trump/?itm_source=parsely-api