IS It TRUE Breaking Announcment: Bristol Myers Sells Mt. Vernon Facility to AstraZeneca


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Pharmaceutical giant AstraZeneca said on Thursday that it would pay up to $4.1 billion to acquire Bristol-Myers Squibb’s stake in an alliance to jointly develop diabetes drugs.

AstraZeneca will initially pay $2.7 billion, plus up to an additional $1.4 billion in other payments. As part of the deal, AstraZeneca will make royalty payments to Bristol-Myers until 2025.

The transaction is subject to regulatory approval and is expected to be completed in January 2014.

Following the deal, AstraZeneca will own the rights to a number of drugs to treat diabetes, including Onglyza, Kombiglyze and Byetta.

Bristol-Myers and AstraZeneca entered into the alliance in January 2007 in order to jointly develop drugs to treat type-2 diabetes. The alliance later expanded to other diabetes-related products.

The agreement includes the sale of a manufacturing facility in West Chester, Ohio, and covers the future purchase of Bristol-Myers Squibb’s manufacturing plant in Mt. Vernon, Ind., about 18 months after the closing of the transaction.

The deal is subject to local consultation and legislation. Substantially all employees of Bristol-Myers Squibb dedicated to the diabetes business will be transferred to AstraZeneca.

Bristol-Myers expects to receive about $3.4 billion in the first quarter of 2014 as part of the transaction, and it will conduct some clinical trials that were started as part of the alliance.

AstraZeneca also said that it would incur a noncash, pretax charge of about $1.7 billion related to Bydureon, a diabetes drug whose sales have been below expectations.

AstraZeneca said it did not expect the Bristol-Myers transaction to affect its core earnings per share in 2013.

Goldman Sachs was financial adviser to Bristol-Myers Squibb and Kirkland & Ellis was its legal adviser.


  1. You heard it first on CCO. Not on Courier-Press, not on the TV stations. Sold! (gavel dropping sound effect here)

      • You need the CCO to scoop ABC and Bloomberg,too? It’s good enough for most that they scooped the AP outlet C&P.

    • The CP follows the CCO on everything. The blight, the deal with the greyhound bus station, the naming rights to the centre, the cemeteries, the council members voting no on the hotel one by one, and now this. The best part is I get all of it for free. So yea, I can’t complain.

    • It has been proven time and time again that computerized models and other scientific and chemical applications are more accurate in testing for the vast majority of human medications, procedures, and other med and pharm. products. There is little if any need to use animal testing in today’s world period. It is cruel, horrific, and very very sad.

      Even though BMS put money into this area I have no respect for them. Perhaps AstraZ, being new, would want to prove themselves a good citizen and shape up in the animal testing area. Does anyone know what the latest status is for IU med school on animal usage? I do know that IU dental school has stop using beagles thankfully but they still use other animals so they do not received our donations.

      • I’m a card carrying liberal, but if it would help save human lives I’m ok with animal testing. Humans come first.

        • The point is that more human lives can be saved by using better methods than animal testing to do research. Did you know that penicillin would have been scrapped as a new wonder medicine ( antibiotic) if it had been tested on guinea pigs? Penicillin kills guinea pigs. Most of this animal testing is mandated by outdated federal laws that have needed overhauling for years.

  2. Why didn’t GAGE see this issue coming down the pike? Oh, to busy planning the downtown Christmas parade.

    • GAGE is useless!! That bunch of idiots should have been fired a long time ago. Need I say more???

      • What does an Evansville local economic development group have to do with Posey County?

        Why the strong opinions about GAGE?

        • “Attachments” Have been known,to “stretch” the site a wee bit…..


  3. Bristol Myres has invested a lot of money these last several years at Mt Vernon Park. It has keep people employed in construction and also their own new line workers. They “could” had been like most business and invest overseas and ship the product back duty free!

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