News Summary: Actavis to buy Forest Labs for $25B

Staff Writer
Columbus CEO

BIG DEAL: Ireland's Actavis is offering about $25 billion to buy Forest Laboratories of New York Inc. and leapfrog to become the world's No. 15 drugmaker by revenue.

THE RATIONALE: Actavis, which sells hundreds of generic, brand-name and nonprescription medicines, wants more new brand-name drugs to add to its portfolio. Forest has them, along with the big network of U.S. sales reps targeting family doctors that Actavis lacks.

NEW MODEL: Actavis, billed as a specialty drugmaker, now will have a good mix of primary care drugs and medicines for more complex disorders, plus it's developing similar versions of biologic drugs.