Actavis accepts Novator’s takeover offer Skip to content

Actavis accepts Novator’s takeover offer

By Iceland Review

The board of Icelandic pharmaceutical company Actavis has accepted the takeover offer from Icelandic investment company Novator. Novator will pay Actavis’ shareholders ISK 182 billion (USD 3.1 billion, EUR 2.2 billion) today.

Shareholders will be paid in cash, which will be deposited to their bank accounts, Fréttabladid reports.

Novator will also refund Actavis’ loans, so the total worth of the business agreement is ISK 451 billion (USD 7.6 billion, EUR 5.5 billion). It is the largest single business agreement in Iceland’s history of commerce.

According to Novator’s information officer Ásgeir Fridgeirsson, this is also the largest takeover agreement of a pharmaceutical company in Europe this year. Fridgeirsson added the business agreement is funded by Deutsche Bank.

Ólafur Ísleifsson, a lecturer at Reykjavík University’s economics department, said the takeover agreement is an important event for Iceland’s economy. “The business is likely to affect the currency market and to strengthen the currency of the króna.”

Ísleifsson said such large amounts of cash, like the value of the business agreement between Novator and Actavis, have so far been unknown to the Icelandic economy.

For comparison, the Icelandic state budget last year was ISK 360 billion (USD 6.1 billion, EUR 4.4 billion) and the total value of Icelandic ships last year was ISK 76 billion (USD 1.3 billion, EUR 1.0 billion).

Click here to read more about Novator’s takeover offer for Actavis.

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