Schering-Plough to buy Organon BioSciences

Pharmaceutical giant Schering-Plough has announced it will acquire Dutch human and animal healthcare business Organon BioSciences, a subsidiary of Akzo Nobel, for approximately 11 billion euros in cash (A$19.25 billion).

Organon BioSciences develops, manufactures and markets products targeting selected therapeutic areas in human pharmaceuticals and a wide range of species in animal health. It has particular interest in gynaecology, infertility, selected areas of anaesthesia and animal health. It consists of two operating units: Organon is the human pharmaceuticals business and Intervet, the world's third largest animal health company.

Organon had sales of A$4.4 billion in 2006 and owns leading products such as Follistim/Puregon, a follicle-stimulating hormone for infertility; Esmeron/Zemuron, a muscle relaxant; and NuvaRing and Implanon for contraception.

In addition, it currently has five compounds in Phase III development, including Asenapine, a novel psychopharmacologic agent for the treatment of schizophrenia and bipolar disorder; Sugammadex, for the reversal of neuromuscular blockade induced during surgical procedures; NOMAC/E2, an oral contraceptive product containing nomegestrol acetate, a novel progesterone, and estriadiol, a natural estrogen; ORG36286, a long-acting recombinant follicle-stimulating hormone for infertility; and Esmirtazapine (ORG50081), for the treatment of insomnia and potentially for hot flashes in menopausal women.

Organon's research and manufacturing facility in Oss, the Netherlands, will be the centre of Schering-Plough's global gynaecology and fertility activities, while Organon's neuroscience research will continue in Newhouse, Scotland.

The transaction is expected to be completed by the end of this year.