FTC, Hospira reach deal on purchase

The Federal Trade Commission conditionally approved Hospira’s planned $2 billion acquisition of Mayne Pharma, an Australian-based generic-drug manufacturer with U.S. headquarters in Paramus, N.J. According to the FTC, the merger would create a monopoly for five generic injectable drugs manufactured by both companies. Under a proposed consent agreement, Hospira, Lake Forest, Ill., would be required to divest Mayne’s business in the five drugs to Barr Pharmaceuticals, Woodcliff Lakes, N.J., within 10 days of the deal’s closing. A spokeswoman for Hospira, which makes around 600 generic injectable drugs in many formulations, said the divestment of the five drugs “was not material to the deal.” Hospira and Mayne officials said they expected the deal to close in early February, pending final court approval of the consent decree. -- by Mark Taylor