Perrigo Company Acquires Ophthalmic Portfolio From Fera Pharmaceuticals, LLC for Upfront Payment of $93 Million

ALLEGAN, Mich.— Perrigo Company (NYSE: PRGO; TASE) has signed a definitive agreement to acquire the ophthalmic sterile ointment and solution product portfolio from Fera Pharmaceuticals, LLC and its affiliates (Fera), a privately-held, Locust Valley, N.Y.-based specialty pharmaceutical company, according to an announcement from Perrigo. The acquired portfolio, including nine prescription ANDA products, generated more than $30 million in net revenues during calendar year 2012.

Terms of the transaction include an upfront cash payment of approximately $93 million along with potential contingent payments totaling approximately $36 million, some of which relate to Perrigo securing additional product rights from Fera. Additionally, Perrigo expects to receive a tax benefit as a result of the acquisition, estimated to be approximately $20 million at present.

Perrigo chairman, president and CEO Joseph C. Papa said, "I'm excited to announce the addition of Fera's ophthalmic ointment and solution products to Perrigo's Rx portfolio. The ophthalmic category has been one of high strategic interest to Perrigo as we continue to pursue opportunities that strengthen our leadership position within the niche Rx extended topical space.

“The breadth of the Fera portfolio allows us to become immediately relevant to patients and physicians across the country seeking cost-effective alternatives for the treatment of common ocular conditions. This acquisition serves as another example of our commitment to provide consumers everywhere with quality, affordable health care offerings," he said.

Perrigo develops, manufactures and distributes over-the-counter (OTC) and generic prescription pharmaceuticals, infant formulas, nutritional products, animal health, dietary supplements and active pharmaceutical ingredients. The company’s primary markets and locations of operations include the U.S., Israel, Mexico, the United Kingdom, India, China and Australia.