Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Consumer groups, unions oppose fix for planned merger of AbbVie and Allergan

share with twitter share with LinkedIn share with facebook
02/18/2020 | 03:56pm EDT
The Allergan logo is seen in this photo illustration

A group of unions and consumer groups wrote to U.S. antitrust enforcers on Tuesday to oppose a proposed remedy that could lead to U.S. approval for AbbVie Inc's planned purchase of Allergan Plc.

In its letter to the Federal Trade Commission, which is reviewing the merger to ensure it is legal, the groups argued that a plan for the companies to divest Allergan's brazikumab, which is being developed to treat ulcerative colitis and Crohn's disease, was inadequate to resolve antitrust concerns raised by the planned deal.

AbbVie did not immediately respond to a request for comment.

The groups argued that the proposed buyer, AstraZeneca, appeared to have little incentive to bring the drug to market and that rebates offered by AbbVie for its Skyrizi drug would slow brazikumab's success in the market since both drugs treat similar ailments.

"We are skeptical that the divestiture to AstraZeneca of Allergan?s brazikumab, a drug in development, can adequately address the anticompetitive effects of the merger," said the letter, which was signed by the American Federation of Teachers, Families USA, U.S. PIRG Education Fund, Service Employees International Union (SEIU), American Federation of State, County, & Municipal Employees (AFSCME) and 12 other groups.

The $63 billion deal, which is expected to close this quarter, was approved by the European Union in January.

The deal was initially announced in June as a way for AbbVie to win control over the lucrative wrinkle treatment Botox and buy time to seek new growth before its blockbuster arthritis treatment Humira loses U.S. patent protection. AbbVie Chief Executive Richard Gonzalez said at the time that the company was able to buy Allergan because of the cash that Humira generates.

(Reporting by Diane Bartz; Editing by Dan Grebler)


Stocks mentioned in the article
ChangeLast1st jan.
ASTRAZENECA PLC -0.05% 7876 Delayed Quote.3.59%
AT HOME GROUP INC. -22.33% 16.56 Delayed Quote.287.64%
JUST GROUP PLC -1.84% 41.68 Delayed Quote.-46.25%
NEXT PLC -2.67% 5970 Delayed Quote.-12.60%
SEEK LIMITED -5.91% 21.51 End-of-day quote.-4.61%
THE LEAD CO., INC. -0.26% 384 End-of-day quote.-1.54%
WILL GROUP, INC. -0.12% 808 End-of-day quote.-35.46%
share with twitter share with LinkedIn share with facebook
Latest news "Economy & Forex"
06:46pOil extends losses with 4% slump on renewed lockdowns
RE
06:46pOil extends losses with 4% slump on renewed lockdowns
RE
06:41pAlphabet sales growth revived as advertisers flock back to Google
RE
06:40pANTERO RESOURCES : Issues Notice of Redemption for its 5.375% Senior Notes Due 2021
PU
06:38pStocks rebound with tech in the lead
RE
06:26pFrequent hurricane shutdowns weigh on U.S. energy results
RE
06:25pNATIONAL BUREAU OF STATISTICS OF REPUBLIC OF M : The results of the structural survey in enterprises in 2019
PU
06:10pSTATISTICS NEW ZEALAND : Home transfers rebound in September quarter
PU
06:09pWalmart pulls firearms, ammunition from U.S. store floors as civil unrest flares
RE
06:07pMexican oil regulator flags Pemex's 'worrying' performance this year
RE
Latest news "Economy & Forex"