Actavis

History

The company was founded in the spring of 1983, when, with funding from friends and family, colleagues Allen Chao, Ph.D. and David Hsia, Ph.D., began a small drug development enterprise. Just two months later, the founders established an initial product-development and analytical laboratory with six employees (including both founders) in a leased space in Libertyville, Illinois (U.S.).

By late fall of the same year, the company moved to Southern California into an initial 2,000-square-foot (190 m2) leased facility in Corona, and the development and manufacturing of generic pharmaceuticals began. The Corona site became the corporate headquarters for the rapidly expanding US company.

Company evolution

1990s

Throughout its history, Actavis has expanded both organically and as the result of strategic acquisitions. In 1993, Actavis, then Watson, announced its initial public offering (IPO) of shares of common stock. The company was initially listed on the NASDAQ under the ticker symbol WATS. The company moved to the New York Stock Exchange (NYSE) in 1997, and began trading under the symbol WPI.

2000 to 2009

In 2000, the company acquired Schein Pharmaceutical Inc, an acquisition that more than doubled the company's size. In that same year, the group reported revenues in excess of $1 billion. In the fall of 2006, it acquired Andrx Corporation, a Fort Lauderdale, Florida–based pharmaceutical company founded by Alan Cohen, making it the third largest specialty pharmaceutical company based on total prescriptions dispensed. In 2007, Dr. Allen Chao retired as President and Chief Executive Officer (CEO) and was succeeded by Paul M. Bisaro. The company's international presence began with the acquisition of the Arrow Group in 2009, providing the company with commercial presence in more than 20 international markets. As a result of the Arrow acquisition, the company also acquired the biopharmaceutical development organization Eden Biodesign in Liverpool, UK.

2011 to 2014

In 2011, Watson moved its corporate headquarters from Corona, California to Parsippany, New Jersey. The new LEED-certified corporate headquarters at the Morris Corporate Center in Parsippany was formally dedicated on June 9, 2011.

Actavis acquisition and Watson name change

In November 2012, Watson acquired the Switzerland-based, global generics company Actavis Group for , creating the world's third largest generics company, with a leading position in key established commercial markets including the US, the UK, Nordics, Canada, Australia, and emerging markets in Central and Eastern Europe, and Russia. Following the acquisition, Watson adopted Actavis' name for its global operations.

Warner Chilcott PLC acquisition

On October 1, 2013, Actavis acquired Irish pharmaceutical company Warner Chilcott PLC (previously known as Galen) in a stock-for-stock transaction valued at approximately $8.5 billion. The combination created a company with approximately $10 billion in anticipated combined annual 2013 revenue, and the third-largest US specialty pharmaceutical company with approximately $3 billion in annual revenue focused on the core therapeutic categories of women's health, urology, gastroenterology and dermatology. In association with the merger the company relocated its corporate headquarters to Ireland while maintaining its operational headquarters in Parsippany, taking advantage of the lower (17% vs. 35% in the United States) Irish corporate tax rate. This deal inspired a series of similar moves by other drug companies and led to new Treasury Department regulations limiting the ability of companies to perform such inversions, although Actavis was exempt from these regulations as its move abroad had already been completed. CEO Paul Bisaro stated that in making the inversion, they were trying to "level the playing field" given the high corporate tax rate in the United States.

Forest Laboratories acquisition

On July 1, 2014, Actavis announced that it had completed its acquisition of Forest Laboratories (who previously acquired, Furiex Pharmaceuticals Inc and Aptalis Pharma) in a cash and equity transaction valued at approximately $25 billion. Following the acquisition, the company restructured its executive leadership, with Paul Bisaro being named Executive Chairman, and Brent Saunders being appointed CEO and President of the combined organization.

Allergan Inc acquisition and Actavis PLC name change

In November 2014, Actavis PLC announced its intention to acquire Allergan Inc, the manufacturer of Botox. Completion of the deal would increase its market capitalization to $147 billion. On March 17, 2015, Actavis PLC completed the acquisition of Allergan Inc in a cash and equity transaction valued at approximately $70.5 billion. The combination created a $23 billion diversified global pharmaceutical company with commercial reach across 100 countries. In June 2015, Actavis PLC officially changed its name to Allergan PLC.

(Acq. 2015 by Actavis) (Acq. 2014 by Actavis) (Acq. 2014 by Actavis) (Acq. 2014 by Forest) (Eurand Pharmaceuticals & Axcan Pharma merged 2011, Acq. 2014 by Forest) (Acq. 2013 by Actavis) (Acq. 2000 by Galen, adopted Warners name) (Acq. 2009 by Warner) (Acq. 2006 by Watson) (Acq. 2009 by Watson) (Acq. by Watson) (Acq. 2011 by Watson) (Acq. 2012 by Watson) (Acq. 2012 by Watson, adopted Actavis' name) (Acq. 2015) (Acq. 2013) (Acq. 2006) (Advanced Medical Optics spun off in 2006)

Locations and facilities

Global headquarters

The company's global headquarters are located in Dublin, Ireland, and administrative headquarters are located in Parsippany, New Jersey, US.

Manufacturing facilities

The company has 40 manufacturing facilities in five continents providing the company with a core leadership position in modified release products, solid oral dosages, transdermals, semi-solids, liquids and injectables. The company's manufacturing facilities are located in Belgium, Brazil, Bulgaria, Canada, China, France, Germany, Greece, Iceland, India, Indonesia, Ireland, Northern-Ireland, Italy, Malta, Puerto Rico, Romania, Singapore, Serbia, Thailand, the UK and the US.

Research and development facilities

Actavis PLC has 27 global R&D facilities focusing on the development of modified release products, solid oral dosages, transdermals, semi-solids, liquids and injectables around the world. The company's R&D facilities are located in Belgium, Bulgaria, China, France, Iceland, Italy, India, Indonesia, Ireland, Japan, Romania, the UK and the US.

United Kingdom price fixing charges

In December 2016, the company was accused by the Competition and Markets Authority (CMA) of breaking competition law by "abuse of its dominant position" in the UK market and charging excessive and unfair prices". It was alleged that the company had increased the price of hydrocortisone tablets by more than 12,000% over the course of eight years. It sold about 943,000 packets of the tablets to the National Health Service in 2015. 10 mg hydrocortisone tablets,, which were sold for 79p in April 2008, cost £88 per pack by March 2016; 20 mg hydrocortisone tablets in March 2008 were sold for £1.07, but £102.74 in 2016. From 2008 to 2015, NHS expenditure on the drug rose from £522,000 to £70 million. The CMA reported its decision on 31 March 2022, confirming its findings of excessive and unfair prices being charged and anti-competitive agreements preventing the entry of potential competition into the market.

In popular culture

Due to their production of "Promethazine With Codeine Cough Syrup", the main ingredient in the recreational drug nicknamed 'lean', the brand has been name-dropped by multiple well known hip-hop artists. Actavis discontinued production of the syrup in 2014. However, Actavis have not ceased production of cough syrup containing hydrocodone and homatropine. Many rappers, such as Migos, Chief Keef and Future, mention Actavis cough syrup in their music.

References

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