Sept. 26 (Bloomberg) -- Mylan Inc. and Agila Specialties Pvt. must divest 11 injectable generic drugs in order to win approval for their proposed merger from the U.S. Federal Trade Commission, the agency said in a statement.
The FTC said the transaction as originally proposed would have hurt competition for the drugs in 11 markets where Mylan and Agila are two of a limited number of competitors.
“This proposed settlement will ensure that these important generic injectable medications, which are used to treat conditions ranging from heart disease and hypertension to cancer, remain available at a competitive price,” said Deborah Feinstein, director of the FTC’s Bureau of Competition. “Preserving existing competition is especially important in markets for injectable drugs where supply disruptions have led to shortages.”
The agreement will broaden Canonsburg, Pennsylvania-based Mylan’s portfolio of off-patent injectable medicines that are in high demand because of shortages in the U.S., where the Food and Drug Administration listed more than 120 medicines in short supply as of Nov. 28.
Mylan, the second-biggest stand-alone generic drug-maker, agreed to buy Agila from Strides Arcolab Ltd., which is based in Bangalore, India, for $1.6 billion in February.
The FTC voted 4-0 to approve the consent agreement with the proposed order. The agreement will be subject to public comment for 30 days, after which the FTC can decide to make the order final.
To contact the reporter on this story: Sara Forden in Washington at email@example.com
To contact the editor responsible for this story: Michael Hytha at firstname.lastname@example.org