BRUSSELS (Reuters) - U.S. generic drugmaker Mylan (MYL.O) is expected to win conditional EU antitrust approval for its planned takeover of Swedish rival Meda AB MEDAa.ST after agreeing to shed some assets, two people familiar with the matter said on Friday.
Mylan’s cash-and-stock offer was worth $7.2 billion when the offer was made in February. This is the third attempt by the U.S. company to acquire Meda, which makes branded, over-the-counter and generic drugs.
The acquisition will give Mylan entry into a number of emerging markets where it does not have a presence, including China, Southeast Asia, Russia and the Middle East.
Mylan offered concessions to the European Commission on June 29 to address competition concerns but did not provide details. Drugmakers typically offer to sell overlapping assets and transfer licensing deals to assuage regulators.
The EU competition watchdog, which is scheduled to decide on the deal by July 20, and Mylan declined to comment.
Mylan shares were up 0.7 percent to $45.70 in early trade on Friday. Meda shares rose immediately after the Reuters report and were 0.7 percent higher to 154.40 Swedish crowns in late trade.
The pharmaceutical industry has seen a wave of consolidation since the start of 2014 on the back of cheap finance and the need to bulk up to compete more effectively with rivals.
Additional reporting by Caroline Humer in New York, Sven Nordenstam in Stockholm and Ludwig Burger in Frankfurt. Editing by Jane Merriman