Actavis, the generic pharmaceutical firm, has purchased the global rights to Valeant Pharmaceuticals International's antibiotic vaginal gel. The acquisition is worth US$55 million.
The two companies are also in discussion for a possible merger. In a statement, if Actavis chooses to introduce an authorized generic drug for the product named Metronidazole 1.3% Vaginal Gel, it would be sharing the gross profits with Valeant.
The vaginal gel is a topical antibiotic for the treatment of a common infection in the vaginal region of a woman. It is expected to be launched, after obtaining approval, in the United States by mid-2014.
According to a source that told Reuters last week, the proposed merger between Actavis and Valeant had been placed on hold after the two companies had failed to agree to the terms of a deal.
Valeant is seeking to purchase Actavis of US$13 billion, according to the source. With the merger, it would have created a combined company worth US$35 billion.
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