EU clears sale of Solvay pharmaceuticals to Abbott
(BRUSSELS) - European regulators on Thursday cleared Belgian chemical company Solvay's plans to sell its entire pharmaceutical business to US drugs group Abbott for more than 4.5 billion euros.
The European Commission's approval for the deal, whose worth could rise to 5.2 billion euros (7.1 billion dollars) if add-on clauses are met, is "conditional upon the divestment of the cystic fibrosis testing business of Solvay Pharma's subsidiary Innogenetics," a statement said.
The sale sees Abbott take over all Solvay's pharmaceuticals employees and assume liabilities including future exposure to litigation.
Solvay said in September it would invest the proceeds in its original chemicals and plastics business, focusing on geographical expansion and attention to new products with a "low carbon footprint."
A round of consolidation has taken place throughout the pharmaceutical industry since Pfizer, already the world's biggest pharmaceutical firm, announced a 68-billion-dollar takover of Wyeth in January.
That was followed by US giants Merck agreeing to buy rival Schering-Plough for 41.1 billion dollars in March.
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