In wake of generics deal, Teva to close New York plant
- Teva Pharmaceuticals plans to close its facility in Pomona, New York by the end of next February, affecting about 80 jobs. The generics company will consolidate some R&D operations to another site in Elizabeth, New Jersey, a spokesperson said.
- Layoffs began August 25 and will continue through closure of the plant, according to a notice posted by the New York State Department of Labor.
- Teva employs 236 staff at the Pomona plant but anticipates more than 130 R&D positions will open up at the New Jersey facility as it shifts operations.
Teva recently closed its $40.5 billion acquisition of Allergan's generics business (Actavis), winning approval from U.S. and European regulators by agreeing to divest a number of products. The Israeli generics maker also paid another $500 million to acquire Allergan's wholesale distributor Anda, building out its supply chain network in the U.S.
Closure of the Pomona plant had been planned for some time, according to a company spokesperson. Still, the addition of Actavis to Teva's business footprint apparently had some impact on Teva's plans.
"With Teva's acquisition of Actavis, Teva will consolidate certain R&D activities from Pomona to its site in Elizabeth, NJ," the spokesperson said.
At least 80 jobs will be cut as a result of the move, although some may be able to shift to the 130 R&D positions opening up in New Jersey. Teva said it would offer a severance package to those employees affected by layoffs.
As a result of the acquisition of Anda, Teva also gained three distribution centers in Mississippi, Florida and Ohio.
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