It's acquiring part of AstraZeneca's antibiotics business for about $1.5 billion. As Fred Katayama reports, Pfizer has been on a shopping spree of late before it decides whether to split the company.
Pfizer on a shopping spree. It's acquiring part of AstraZeneca's antibiotics business for about $1.5 billion. The U.S. giant will get the rights to sell the British-Swedish drug maker's small molecule antibiotics primarily outside the United States. Pfizer's move comes two days after it said it'll buy prostate cancer drug maker Medivation for $14 billion in cash. In May, it announced its $5.2 billion purchase of eczema gel maker Anacor Pharmaceuticals. The deals indicate Pfizer is shifting from its strategy of lowering taxes using mega mergers ... to bolstering its portfolio of branded drugs. It plans to decide this year whether it'll split itself into two companies: one that makes patent-protected brand drugs and the other, generics. Pfizer abandoned its nearly $120 billion bid to buy AstraZeneca two years ago and its $160 billion merger deal with Botox maker Allergan - moves that were seen as a way to cut taxes by moving its headquarters overseas. Shares of Pfizer and AstraZeneca gaining ground in early trading.