As reported in Invest in Israel,  Teva Pharmaceutical Industries Ltd., the world’s largest maker of generic drugs, acquired German generic pharmaceuticals company Ratiopharm for $4.9 billion. Through the acquisition of Ratiopharm, which is the second-largest player in the German generics market, Europe’s biggest, Israel’s Teva becomes number one in Europe as its presence in Spain, Italy and France is also boosted.

The deal is expected to capture significant synergies for Teva.

US drug powerhouse Pfizer and Iceland-based Actavis were among the bidders in the final round, but Teva beat their offers. In 2008, Teva acquired American company Barr Pharmaceuticals, a maker of generic birth control pills, for about $7.5 billion, and in 2005 it bought another generics competitor, Ivax, based in Miami, for about $7.4 billion.

Teva, Israel’s largest company, has a market value of about $56 billion.

Ratiopharm, a privately-owned subsidiary of German holding company VEM, was founded in 1973 and has annual sales of about $8.6 billion.

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