Valeant Pharmaceuticals Looks to Middle East and Africa Expansion

Multinational speciality pharmaceuticals business Valeant has entered into a definitive agreement to acquire Mercury (Cayman) Holdings, the holding company of Amoun Pharmaceutical, for consideration of approximately US$800 million, plus contingent payments.

Amoun Pharmaceutical is the largest domestic company in the Egyptian pharmaceutical market and currently expects to reach EGP 1.75 billion by 2015, with annual growth of approximately 20%. It operates a plant that is considered to be one of the largest and most up-to-date pharmaceutical facilities in Africa and the Middle East and has market leading pharmaceutical brands in therapeutic areas such as anti-hypertensives, broad spectrum antibiotics and anti-diarrheals.    

Valeant intends for Amoun to serve as a platform for further expansion in the broader Middle East and North Africa pharmaceutical market and expects the transaction to close in the third quarter, subject to customary closing conditions.