Mylan to Buy Renaissance Skin Drug Unit for About $1 Billion

Mylan NV agreed to buy skin drug assets from Renaissance Acquisition Holdings LLC for about $1 billion to complement its existing products.

Mylan will pay $950 million in cash up front and up to $50 million in future payments for the unit, which sells topical specialty and generic drugs, the companies said Friday in a statement.

“The dermatology/topicals space has long been an area of focus for Mylan and one that we have targeted for expansion,” Heather Bresch, Mylan’s chief executive officer, said in the statement.

The Renaissance unit had about $370 million in sales last year and has about 25 on-market products with another 25 in the pipeline, according to the statement. Renaissance, majority-owned by private equity firm RoundTable Healthcare Partners, will retain its sterile-focused businesses.

The acquisition will not affect Mylan’s projected debt ratio, because the financing was accounted for, Bresch said in the statement.

Mylan has been an active acquirer. In February, it announced a $7.2 billion deal to acquire Swedish drugmaker Meda AB.

May 14, 2016

Source: http://www.bloomberg.com/