Teva will sell its generic antipsychotic clozapine to Par Pharmaceutical under a Federal Trade Commission-ordered divestiture associated with the company's acquisition of Ivax.

Through the divestiture plan, Par will claim a total of 11 drugs, including amoxicillin clavulanate and nabumetone.

FTC announced Jan. 23 that it had approved the $7.4 bil. acquisition, which is slated to close on Jan. 26. The deal, inked in July, would make Teva the world's largest generic pharmaceutical firm (¹ Also see "Teva Could Modify Its "Authorized" Generic Policy Following Ivax Acquisition" - Pink Sheet, 25 July, 2005.).

In its consent agreement, FTC mandated that the divestiture be completed within 10 days of closing.

Barr Pharmaceuticals will also gain four products from the divestiture, including generic tramadol/acetaminophen tablets from Teva and glipizide and metformin hydrochloride tablets from Ivax.

The plan also calls on Teva and Ivax to "provide transitional services to enable the Commission-approved acquirers to obtain all of the necessary approvals from the FDA."

As part of the transition, Teva and Ivax will supply Par and Barr with their respective generics until they are able to manufacture product independently.

FTC will accept public comment through Feb. 21.

-Jonathan Block

Teva/Ivax Merger Gets FTC OK Pending Divestitures

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