ALLEGAN, Mich. (WOOD) — Perrigo is getting ready to sell off its generic prescription drug business for $1.55 billion.
“This is an exciting day for Perrigo,” Perrigo President and CEO Murray S. Kessler said in a news release.
The Allegan-based company announced the deal with Altaris Capital Partners, LLC Monday. As part of the deal, Altaris will take on more than $50 million in payments for potential research and development milestones and buyer obligations with third-party prescription partners.
Perrigo said the deal is the final major step toward focusing on its line of self-care products and will give the company more financial predictability and flexibility.
Kessler said when the transaction closes, this company will have more than $2 billion in cash available to invest in “growing trends towards self-managed health and wellness.”
Kessler called Altaris “an ideal owner” for the prescription drug business. The New York-based investment firm currently manages 14 businesses in the health care industry, its website shows.
The deal is expected to close by the end of the third quarter.