Pfizer Inc. to buy King Pharmaceuticals, Inc. Sterile Products Operations for $3.6 Billion Cash
Pfizer Inc. and King Pharmaceuticals, Inc. today announced that they have entered into a definitive merger agreement. Under the terms of the agreement, Pfizer will acquire King, a diversified specialty pharmaceutical discovery and clinical development company, for $3.6 billion in cash, or $14.25 per share, which represents a premium of approximately 40% to King's closing price as of October 11, 2010 , and 46% percent to the one-month average closing price as of the same date. The transaction was approved by the boards of both companies and is expected to be accretive to Pfizer's adjusted diluted earnings per share(1) by approximately $0.02 annually in 2011 and 2012, and approximately $0.03 - $0.04 annually from 2013 through 2015. The transaction will further expand Pfizer's business profile, providing immediate, incremental diversified revenues generated by King's portfolio, including a prescription pharmaceutical business focu...