Pharmacy Daily | Valeant to acquire iNova

INTERNATIONAL pharmaceutical giant, Valeant Pharmaceuticals has said it will transform its operations in the Australian market, following a recently signed agreement to acquire Aussie pharmaceutical company, iNova. iNova owns, develops and markets a range of prescription and OTC pharmaceutical products in Australia, NZ, Southeast Asia and South Africa, including therapeutic weight management brands such as Duromine, and the newly launched low energy ‘achievit’ diet shakes and soups for weightloss, as well as OTC brands in the cold and cough area, such as Difflam and Duro Tuss. Valeant will pay iNova shareholders A$625 million upfront and up to an additional A$75 million in potential milestones based on the success of pipeline activities, product registrations and overall revenue. Valeant is acquiring iNova at a time when iNova is experiencing healthy revenue growth of 10% per annum over the last four years. iNova expects its total 2011 revenues to sit at around A$200 million with an operating margin of approximately 40%. “This transaction not only transforms our operations in the Australian market, but provides us with a beachhead in both Southeast Asia and South Africa,” said Valeant chairman and chief Executive Officer, Michael Pearson. “iNova has a talented management team that has created a strong business operation ahead of an intended initial public offering and with the current market softness, Valeant has a unique opportunity to acquire iNova and integrate our Australian operations into the broader iNova Asia Pacific business,” he added.

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