GRAND RAPIDS, Mich. (WOOD) — West Michigan self-care product manufacturer Perrigo expects to spend about $2.1 billion to buy European company HRA Pharma.
The purchase should be finalized sometime in the first half of next year, assuming it is OK’d by regulatory agencies.
Paris-based HRA Pharma makes several over-the-counter blister care, women’s health and scar care products, as well as few specialized medications for rare diseases. Perrigo says acquiring it should “significantly strengthen (its) global footprint.”
“With the addition of HRA and its talented leadership team, Perrigo would be a consumer self-care global leader that is poised to deliver top tier net sales growth and double-digit (earnings per share) growth in the near-term while concurrently expanding margins,” Perrigo President and CEO Murray Kessler said in a statement. “…It’s literally a one-of-a-kind opportunity to simultaneously enhance our financial profile, while driving even greater value for consumers, shareholders and the communities in which we work and live.”
Perrigo says it expects to save $30 million within the first year of the acquisition by combining and streamlining its and HRA’s operations. It added that buying HRA could boost sales by about $400 million in the 2023 fiscal year.
Perrigo, an over-the-counter giant in the U.S., currently has its North American headquarters in Allegan but is working on moving HQ to Grand Rapids,