Pfizer's
This isn't the first set of animal health products that Pfizer has had to dispose of to satisfy regulators. Before the acquisition closed, Pfizer also arranged the sale of other animal-health assets to Boehringer Ingelheim.
With terms for both deals undisclosed, the big question is how much these compulsory sales cost Pfizer. It's not ideal to be forced to find a buyer, but animal health is still a big business with lots of competition -- Merck
Animal-health products many not be as sexy as their human counterparts. How can parasiticides and feed additives compete with blockbuster treatments like Elan
We may not be done with the animal-health musical chairs yet either. Merck and Sanofi were partners before Merck acquired Schering-Plough, which came with its own animal-health division. As part of the disposal of their joint venture, which Sanofi took over, the companies laid the groundwork for teaming back up. If that happens, we could see additional products up for sale to satisfy regulators.
Aren't mergers and acquisitions fun? Lots of spinning wheels contributing nothing toward advancing products toward market or increasing sales of those that are already there. It's no wonder so many mergers fail to live up to expectations.
Tom Jacobs is putting out the "We buy ugly stocks" sign. I wonder if ugly M&A's are just too ugly?
