Altaris Capital to acquire Perrigo's generic-drugs business in $1.55B deal

Altaris Capital Partners LLC agreed to buy the Generic Rx Pharmaceuticals business of over-the-counter health and wellness company Perrigo Co. PLC in a deal valued at $1.55 billion, including $1.5 billion in cash.

The private equity firm will also assume over $50 million in potential research and development milestone payments and contingent purchase obligations with third-party partners of the target business.

The transaction is set to be finalized by the end of the third quarter, subject to customary closing conditions.

After deal completion, Perrigo expects to have available cash of more than $2 billion to advance its strategy of becoming a pure-play global consumer self-care company.

Centerview and Wachtell Lipton Rosen & Katz are the respective financial and legal advisers to Perrigo on the deal.

J.P. Morgan is lead financial adviser and lead left arranger to Altaris. Goldman Sachs & Co. is its financial adviser and arranger, and Schiff Hardin LLP and Cleary Gottlieb are its legal advisers.