German-based Fresenius Kabi announced recently that it is walking away from a proposed acquisition of American generic drugmaker Akorn Pharmaceuticals. But Akorn isn’t going down without a fight.
On Sunday, Fresenius said it wanted out of the $4.3 billion deal because Akorn had failed to “fulfill several closing conditions.” Specifically, Fresenius accused Akorn of material breaches related to the FDA’s integrity requirements for product development.
Akorn disagreed with Fresenius’ conclusions, stating, “The previously disclosed ongoing investigation, which is not a condition to closing, has not found any facts that would result in a material adverse effect on Akorn’s business and therefore there is no basis to terminate the transaction.”
Akorn, which is based in Illinois, has now asked a Delaware Chancery Court to force Fresenius to continue with the deal.
Akorn produces a range of pharmaceutical products including ointments, liquids, sprays, gels and sterile injectable drugs. The two companies announced the deal in April 2017.
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