US drug firm buys out Turkish firm for $700 million

ISTANBUL - Hürriyet Daily News

Hürriyet photo

U.S. drugs giant Amgen has announced that it has agreed to buy out Turkish Mustafa Nevzat for $700 million.

Amgen aims to grow both in Turkey and its region with the purchase, which will be conducted in cash, the company said in a statement, adding that the acquisition had been approved by the boards of both companies.

“Together with Mustafa Nevzat’s staff and management team, we plan to grow our business with high-quality and innovative medicines in Turkey and the surrounding region,” said Robert A. Bradway, president and chief operating officer at Amgen.

A separate statement by Mustafa Nevzat said the deal was for a 95.6 percent stake in the company.
 
“This operation offers Mustafa Nevzat employees and customers a very attractive opportunity,” said Levent Selamoğlu, general manager of the Turkish party.
Amgen, which started up its Turkey office in 2010, operates in the local market with two products.

The leading U.S. biotechnology company was competing with a number of global firms for the Mustafa Nevzat buyout.

Bank of America Merrill Lynch was consulting for Mustafa Nevzat during the acquisition process.

Mustafa Nevzat, which was founded in 1912, is the market leader in Turkey’s injectable medicines market, according to officials. The company’s 2011 revenues stood at around $200 million and posted double-digit growth figures for the last five years, an official said.