The specialty pharmaceutical company Akorn, Inc has agreed to acquire VPI Holdings Corp., the parent company of VersaPharm Incorporated, for $440 million in cash. VersaPharm, based in Marietta, Georgia, is a privately held developer and marketer of generic pharmaceuticals to niche markets within the United States. Its product focus is in the niche therapeutic categories of dermatology, tuberculosis and hemophilia

VersaPharm has a pipeline of more than 20 products, including 11 abbreviated new drug applications filed with FDA. The acquisition is expected to add $90 to $100 million in annual revenues to Akorn, and the deal is expected to close in the third quarter of2014, subject to customary closing conditions.

VersaPharm's expertise in developing topical products complements Akorn's recently acquired manufacturing platform through the merger with the specialty pharmaceutical company Hi-Tech Pharmacal. In April 2014, Akorn completed its $640-million acquisition of Hi-Tech Pharmacal. Hi-Tech specializes in difficult-to-manufacture liquid and semisolid dosage forms and produces and markets a range of oral solutions and suspensions, as well as topical ointments and creams, nasal sprays, otics, sterile ophthalmics, and sterile ointment and gels products

Akorn, Inc. is a niche pharmaceutical company engaged in the development, manufacture and marketing of multisource and branded pharmaceuticals. Akorn has manufacturing facilities located in Decatur, Illinois; Somerset, New Jersey; Amityville, New York; and Paonta Sahib, India, where the company manufactures ophthalmic, injectable and niche, non-sterile pharmaceuticals.

Source: Akorn