Dive Brief:
- Valeant is reportedly in talks to acquire the Egyptian pharma company Amoun. If completed, the acquisition would be one of the largest acquisitions of a pharma company in the Middle East.
- The sale could value Amoun in the $700 to $800 million range.
- Amoun is using Goldman Sachs as an advisor, according to Bloomberg, but the talks themselves are private and participants are currently not commenting directly.
Dive Insight:
According to IMS, the pharmaceutical market in the Middle East is growing rapidly, with anticipated growth from $16 billion in 2013, to $26 billion by 2017. This translates into a 12% to 14% growth rate, which far outpaces the 2% to 5% growth rate in the U.S. and Europe (albeit from a much smaller starting point).
Amoun is actively seeking a buyer, and if that fails, the company may end up going public. Amoun has a solid portfolio of veterinary and human medicines, as well as private-equity shareholders, inlcuding Capital Group, Concord International Investments, and the Rohatyn Group.