Perrigo Deal For Paddock Won't Close Until FY2012 On FTC Probe

Date : 06/29/2011 @ 10:07AM
Source : Dow Jones News
Stock : NY^PRGO (PRGO)
Quote : 113.04  0.0 (0.00%) @ 4:01PM

Perrigo Deal For Paddock Won't Close Until FY2012 On FTC Probe

Perrigo Company Plc Ordinary Shares (NYSE:PRGO)
Historical Stock Chart

5 Years : From Jan 2013 to Jan 2018

Click Here for more Perrigo Company Plc Ordinary Shares Charts.

Perrigo Co. (PRGO) said its deal to purchase privately-held generic pharmaceutical products maker Paddock Laboratories Inc. won't close in the current quarter as previously expected, as it continues to work through a lengthy review process with the U.S. Federal Trade Commission.

Perrigo, a seller of store-brand pharmaceutical and nutrition supplements, had announced in January it would pay $540 million to acquire the assets of Minneapolis-based Paddock. It said then that it expected the transaction to add 25 cents to its adjusted earnings and $200 million to sales in the company's fiscal 2012 year.

Wednesday, the company said it now expects the Paddock deal to close in fiscal 2012. Due to the extended horizon, Perrigo will incur 20 cents of deal-related intangible amortization and 15 cents of other acquisition-related costs, hurting earnings by roughly 10 cents a share.

The company also reiterated Wednesday its expectations for a tax benefit of $95 million related to the acquisition of Paddock's assets.

Last month, Perrigo reported its fiscal third-quarter earnings rose 43% as recent acquisitions helped boost the company's sales. Its acquisition of Orion Laboratories Pty Ltd., for instance, added $7 million in incremental sales to its consumer healthcare unit.

Shares were down 0.3% in recent trading at $86.26. Year to date, the stock is up 36%.

-By Mia Lamar, Dow Jones Newswires; 212-416-3207;

Latest PRGO Messages

{{bbMessage.M_Alias}} {{bbMessage.MSG_Date}} {{bbMessage.HowLongAgo}} {{bbMessage.MSG_ID}} {{bbMessage.MSG_Subject}}

Loading Messages....

No posts yet, be the first! No {{symbol}} Message Board. Create One! See More Posts on {{symbol}} Message Board See More Message Board Posts

Your Recent History
Gulf Keyst..
FTSE 100
UK Sterlin..
Stocks you've viewed will appear in this box, letting you easily return to quotes you've seen previously.

Register now to create your own custom streaming stock watchlist.

NYSE, AMEX, and ASX quotes are delayed by at least 20 minutes.
All other quotes are delayed by at least 15 minutes unless otherwise stated.