Akorn buys drug firm

|By:, SA News Editor

Akorn (AKRX +3.8%) enters into a definitive agreement to acquire VPI Holdings, the parent company of VersaPharm for $440M cash.

VersaPharm is a privately-held maker of multi-source prescription drugs focused on niche applications in dermatology, TB and hemophilia. It has a pipeline of over 20 products and 11 ANDAs under regulatory review.

The acquisition is expected to add $90M - 100M in revenues and $0.10 - 0.12 in EPS, excluding certain items. Akorn will fund the purchase with debt.