By David Welch and Drew Armstrong – 11 May 2013
The largest US maker of generic drugs, Actavis, is in talks to buy Ireland-based Warner Chilcott.
Warner Chilcott emerged out of Northern Ireland's Galen in 2004 and is valued at about $3.76bn (€2.8bn).
A tie-up with Dublin-based Warner Chilcott would lower global giant Actavis's tax burden over time, and would help the generics maker expand in women's health, said one person close to the deal.
The discussions come just a few weeks after Actavis weighed a merger with fellow generics maker Valeant Pharmaceuticals International, said the sources, who asked not to be named because the negotiations are private. There's no guarantee a deal will emerge.
"It would make sense," Kevin Kedra, an analyst with New York-based Gabelli & Co, said. "There's a lot of overlap, with where Actavis is trying to go on the branded size and with Warner Chilcott's women's health franchise."