JERUSALEM--(BUSINESS WIRE)--Apr. 19, 2018--
Teva Pharmaceutical Industries [NYSE and TASE: TEVA] has announced that
Teva and the Procter & Gamble Company [NYSE: PG] have agreed to
terminate the PGT Healthcare partnership that the two companies
established in 2011 to market OTC (Over The Counter) medicines. The
separation is planned to take effect July 1, 2018 subject to receipt of
applicable regulatory approvals. No significant (material) net financial
transfer between Teva and P&G will result from the dissolution.
PGT Healthcare has grown into a significant presence in over 50
countries, mainly in Europe and Asia, using market-leading brands such
as Vick’s and ratiopharm. However after nearly seven years working
together, the companies concluded that their priorities and strategies
are no longer closely aligned and each company will take back its own
brand and product assets to re-establish independent OTC businesses.
“We have significantly benefited from the PGT partnership and we are
parting on good terms”, said Sven Dethlefs, Executive Vice President
Global Marketing & Portfolio. “We will continue to build our OTC
business, based on trusted brands, as a growing and long-term key
business for Teva. It is a step in our wider process to bring
integration and focus, and it enables us to better leverage synergies
between our OTC and Generics businesses. The move creates a solid
platform for a strong Teva OTC business, using the assets returning from
PGT and the OTC brands acquired primarily through Actavis in 2016.”
P&G President, Global Personal Health Care, Tom Finn, commented: “The
PGT Healthcare joint venture was highly successful but the decision to
dissolve is in the best interest of both parties. We thank the Teva
employees who have partnered with us and we wish Teva well as they
operate their independent OTC business in the future.”
The separation is not expected to have a material effect (impact) on
Teva’s 2018 financial outlook. As mentioned, the company will merge its
OTC interests returning from PGT with a portfolio of OTC assets acquired
in 2016 via the Actavis acquisition. In 2017, the combined sales from
Teva’s PGT OTC products and Teva non-PGT OTC products were approximately
$1 billion.
About Teva
Teva Pharmaceutical Industries Ltd. (NYSE and
TASE: TEVA) is a leading global pharmaceutical company that delivers
high-quality, patient-centric healthcare solutions used by millions of
patients every day. Headquartered in Israel, Teva is the world’s largest
generic medicines producer, leveraging its portfolio of more than 1,800
molecules to produce a wide range of generic products in nearly every
therapeutic area. In specialty medicines, Teva has a world-leading
position in innovative treatments for disorders of the central nervous
system, including pain, as well as a strong portfolio of respiratory
products. Teva integrates its generics and specialty capabilities in its
global research and development division to create new ways of
addressing unmet patient needs by combining drug development
capabilities with devices, services and technologies. Teva's net
revenues in 2017 were $22.4 billion. For more information, visit www.tevapharm.com.
Cautionary Note Regarding Forward-Looking Statements
This
press release contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995 regarding the
launch and potential benefits of Teva's generic version of Lialda®,
which are based on management’s current beliefs and expectations and are
subject to substantial risks and uncertainties, both known and unknown,
that could cause our future results, performance or achievements to
differ significantly from that expressed or implied by such
forward-looking statements. Important factors that could cause or
contribute to such differences include risks relating to:
-
commercial success of Teva's generic version of mesalamine,
including due to a potential launch of an Authorized Generic version;
-
our generics medicines business, including: that we are
substantially more dependent on this business, with its significant
attendant risks, following our acquisition of Allergan plc’s worldwide
generic pharmaceuticals business (“Actavis Generics”); our ability to
realize the anticipated benefits of the acquisition (and any delay in
realizing those benefits) or difficulties in integrating Actavis
Generics; the increase in the number of competitors targeting generic
opportunities and seeking U.S. market exclusivity for generic versions
of significant products; price erosion relating to our generic
products, both from competing products and as a result of increased
governmental pricing pressures; and our ability to take advantage of
high-value biosimilar opportunities;
-
our business and operations in general, including: uncertainties
relating to the potential benefits and success of our new
organizational structure and recent senior management changes; the
potential success and our ability to effectively execute a
restructuring plan; our ability to develop and commercialize
additional pharmaceutical products; manufacturing or quality control
problems, which may damage our reputation for quality production and
require costly remediation; interruptions in our supply chain;
disruptions of our or third party information technology systems or
breaches of our data security; the failure to recruit or retain key
personnel; the restructuring of our manufacturing network, including
potential related labor unrest; the impact of continuing consolidation
of our distributors and customers; variations in patent laws that may
adversely affect our ability to manufacture our products; adverse
effects of political or economic instability, major hostilities or
terrorism on our significant worldwide operations; and our ability to
successfully bid for suitable acquisition targets or licensing
opportunities, or to consummate and integrate acquisitions; and
-
compliance, regulatory and litigation matters, including: costs and
delays resulting from the extensive governmental regulation to which
we are subject; the effects of reforms in healthcare regulation and
reductions in pharmaceutical pricing, reimbursement and coverage;
potential additional adverse consequences following our resolution
with the U.S. government of our FCPA investigation; governmental
investigations into sales and marketing practices; potential liability
for sales of generic products prior to a final resolution of
outstanding patent litigation; product liability claims; increased
government scrutiny of our patent settlement agreements; failure to
comply with complex Medicare and Medicaid reporting and payment
obligations; and environmental risks.
and other factors discussed in our Annual Report on Form 20-F for the
year ended December 31, 2016 (“Annual Report”) and in our other filings
with the U.S. Securities and Exchange Commission (the “SEC”).
Forward-looking statements speak only as of the date on which they are
made, and we assume no obligation to update or revise any
forward-looking statements or other information contained herein,
whether as a result of new information, future events or otherwise. You
are cautioned not to rely on these forward-looking statements. You are
advised to consult any additional disclosures we make in our reports to
the SEC on Form 6-K, as well as the cautionary discussion of risks and
uncertainties under “Risk Factors” in our Annual Report. These are
factors that we believe could cause our actual results to differ
materially from expected results. Other factors besides those listed
could also materially and adversely affect us. This discussion is
provided as permitted by the Private Securities Litigation Reform Act of
1995.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180419005536/en/
Source: Teva Pharmaceutical Industries Ltd.
IR Contacts
United States
Kevin C. Mannix,
215-591-8912
Ran Meir, 215-591-3033
Israel
Tomer
Amitai, 972 (3) 926 7656
or
PR Contacts
United
States
Elizabeth DeLuca, (267) 468-4329
Israel
Yonatan
Beker, 972 (54) 888 5898