(AP) — Shares of Lannett jumped Thursday after the generic drugmaker said it will buy a U.S.-based division of Belgian drugmaker UCB, nearly doubling its annual sales. More specifically, Lannett will be purchasing UCB’s Kremers Urban Pharmaceuticals business for $1.23 billion in cash.
Kremers makes specialty generic drugs, or drugs that require special handling or administration. Lannett said Kremers’ products include treatments for attention deficit hyperactivity disorder, acid reflux, high blood pressure and respiratory illnesses. Lannett had $407 million in revenue in its last fiscal year and it said Kremers had about $400 million.
Philadelphia-based Lannett Co. said it expects to get a tax benefit of more than $100 million in the deal. It expects to complete the purchase during the fourth quarter of 2015. Lannett’s biggest sellers include treatments for thyroid deficiency, congestive heart failure, migraines and tension headaches, gallstones, and pain treatments. In June, the company bought Silarx, which makes liquid drugs.