Quantcast
Get breaking news alerts via email

Click here to manage your alerts
AbbVie to buy Shire for $54.8 billion to lower taxes
Acquisitions » North Chicago company’s tax duties shift to UK, operations remain in U.S.


< Previous Page


Flemming will also receive $9.9 million as part of a retention arrangement for senior Shire employees, amounting to about 150 percent of his annual total compensation. Two Shire directors, Chairwoman Susan Kilsby and Dominic Blakemore, will join the AbbVie board.

The tax move is only the industry’s latest.

Join the Discussion
Post a Comment

Mylan said July 14 it will buy Abbott Laboratories’ generic-drug business and incorporate the new company in the Netherlands. Medtronic, a Minneapolis-based medical-device maker, on June 15 announced a $42.9 billion takeover of Dublin- based Covidien.

Pfizer’s bid for AstraZeneca — which would have been the largest in industry history — ran into the U.K. Takeover Panel’s deadline as the companies couldn’t agree on a price.

A congressional panel estimated this year that a bill to prevent future inversions proposed by Rep. Sander Levin, a Michigan Democrat, would preserve $19.5 billion in otherwise forgone tax revenue over the next 10 years.

AbbVie will gain a series of rare disease drugs, including Elaprase for Hunter syndrome, a genetic disorder, and Replagal, to treat Fabry disease. It also inherits experimental products, including lifitegrast for dry eye, and Premiplex for a potentially blinding eye disorder in infants. Premiplex could generate more than $1 billion annually if it reaches the market, said Jason Gerberry, an analyst at Leerink Partners.

Drugs for attention deficit disorder, including Vyvanse and Adderall, accounted for about 39 percent of Shire’s revenue last year.

JPMorgan Chase is advising AbbVie on the deal, while Citigroup, Deutsche Bank, Evercore Partners, Goldman Sachs and Morgan Stanley are advising Shire.




Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Access your e-Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.