EC approves Watson's acquisition of Actavis
The EC has ruled that Watson's acquisition of Actavis will not significantly impact competition in the market.
Merger and acquisition advisors at the European Commission (EC) have given the green light to US-based generic pharmaceutical firm Watson's proposed acquisition of Swiss-based Actavis.
They concluded that the organisation will still have a number of sizable competitors when the tie-up is completed.
This is despite the fact that some countries have realised significant changes to this sector and the competition within it, the EC said, suggesting that a number of strong and credible groups will still be able to challenge the merged entity in the market.
It looked into the impact the transaction would have on the sales of a number of drugs, including hypertensives and anti-depressants, with the EC particularly focusing on the UK, Sweden and Denmark.
However, it concluded the tie-up would not significantly alter competition within the European Economic Area.
"Approval from the EC represents a significant milestone as we work toward the completion of the combination of Watson and Actavis later this year," Watson chief executive officer and president Paul Bisaro said.
Posted by Ken Hayes
Source: EC press release, October 5th