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Abbott pays $2.9B for Latin American drugmaker

Abbott Laboratories Inc. is acquiring drugmaker CFR Pharmaceuticals, doubling the company’s presence in Latin America.

Abbott said Friday it will pay about $2.9 billion for the maker of branded generic drugs and assume about $430 million in debt.

The deal makes Abbott one of the top 10 drug companies in Latin America. Abbott expects the purchase to add $900 million to its annual sales in the first full year and expects double-digit sales growth over the next several years.

“With its scale and leadership positions in the region, strong commercial and development organizations, well-respected leadership team and a trusted portfolio of recognized brands, CFR is one of the leading branded generic companies in Latin America,” Abbott chairman and CEO Miles D. White said in a news release.

“This acquisition will significantly enhance and broaden Abbott’s Latin American footprint, and is well aligned with our long-term strategy and commitment to fast-growing markets.”

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CFR Pharmaceuticals, based in Santiago, Chile, markets more than 1,000 products in 15 Latin American markets and its branded generic drugs fit with Abbott’s focus on women’s health, central nervous system, cardiovascular and respiratory diseases.

CFR employs about 7,000 people. It has research-and-development and manufacturing facilities in Chile, Colombia, Peru and Argentina.