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Valeant buys some Mexican generic drug maker's assets

Valeant CEO Michael Pearson is seen in one of the company's laboratories.

Ryan Remiorz/Ryan Remiorz/THE CANADIAN PRESS

Valeant Pharmaceuticals International Inc said it will buy certain assets from Atlantis Pharma, a branded generic pharmaceutical company, for about $71-million, to expand its footprint in Mexico.

Valeant has been on a buying spree across various geographies since Michael Pearson took over as its chief executive four years ago.

The company avoided deals in Latin America last year because of high asset prices, but Mr. Pearson said prices are now more attractive.

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The acquired assets, which had a total revenue of about $26-million in 2011, are expected to deliver double-digit growth this year, Valeant said in a statement.

The deal, likely to close in the second quarter, is expected to immediately add to Valeant earnings.

Mexico-based Atlantis Pharma has gastro, analgesics and anti-inflammatory therapeutic products.

"Atlantis Pharma's well-known brands in Mexico, and the potential to expand our export business to Central America and the Andean region, make this a strong addition to our current operations in Mexico," Mr. Pearson said in a statement.

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