Abbvie takeover of Allergan pushed back to May due to coronavirus disruptions

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AbbVie's $63 billion takeover of Allergan is being pushed back to at least May after the U.S. Justice Department said it will delay final merger and acquisition reviews because of interruptions caused by the coronavirus pandemic. 

Typically, once a company complies with the FTC or Justice Department's requests for information, the agencies have 30 days to approve or challenge a deal, unless the companies agree to more time, according to BloombergQuint.

The Justice Department's antitrust division said March 17 it is asking companies to agree to extend the deadline by an additional 30 days.

The Federal Trade Commission is also asking for extensions, BloombergQuint reported. The agency said extensions may be necessary because the coronavirus may get in the way of some companies' ability to produce needed documents or to make employees available for interviews. 

AbbVie posted a news release March 18 saying it expects the deal to close in May. 

The drugmaker also said it will divest three of its drugs: brazikumab, a treatment for autoimmune disease, to AstraZeneca; Zenpep, a cystic fibrosis treatment, to Nestle; and Viokace, pancreatic enzyme preparation, also to Nestle. 

 

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