Actelion

Actelion is the biopharmaceutical company specializing in creation and development of the innovation methods of treatment, including rare diseases. The company with the headquarters in Basel (Switzerland) is founded in 1997. In the 2009th the representation in Russia was open.

2018: A fine of $360 million for bribery of charitable foundations

On December 6, 2018 it became known that the Johnson & Johnson company will pay the American government $360 million on the case of use of charitable organization for payments of bribes to patients.

The investigation was carried on in the matter of Actelion Pharmaceuticals company which is engaged in production of expensive drugs for treatment of diseases of lungs and which Johnson & Johnson purchased in 2017.

Johnson & Johnson will pay $360 million for bribery of charitable foundations

Federal prosecutors said that Actelion collected data on the patients receiving the help from Caring Voice Coalition non-profit organization and worked in such a way that the offered money went for assistance only to those patients who used medicines of this firm, but not competing companies. Actelion continued practice even after charitable organization warned the company.

At the same time, according to prosecutors, in 2014 and 2015 Actelion raised the price of the main medicine Tracleer almost by 30 times in comparison with the rate of inflation. But patients continued to buy medicine though they under other conditions could not do it.

Actelion also directed patients who were participants of the Medicare program and got under free treatment, to the Caring Voice Coalition organization. Thus the company did not provide medicines to the patients having the right to their receiving and forced insurance company to cover expenses on treatment.

The companies producing drugs often help patients by means of coupons or using other financial instruments. These payments are connected not only with benevolence, but also with intention to appease perturbation concerning increase in prices for drugs. Then insurers cover the most part of cost. But federal laws of the USA prohibit the companies to provide such ​​ financial aid to beneficiaries of national programs of health insurance of Medicare and Medicaid because it is considered an incentive for purchase of medicines of specific producers.

The representative of Actelion Caroline Pavis said that the company intends to observe all laws and instructions.^[1]

2017: Johnson & Johnson buys Actelion for $30 billion

At the end of January, 2017 the American producer of medical solutions Johnson & Johnson announced purchase of Actelion for $30 billion. The cost of the transaction will be $30 billion taking into account the separated R&D-подразделения Actelion.

Under the terms of the agreement, Johnson & Johnson will pay $280 counting on the stock Actelion that is 23% more than the cost of securities of the company a day before the declaration of the transaction and is 80% more than a quotation rate in November, 2016 when mass media reported negotiations on merge of Johnson & Johnson and Actelion. After the official declaration of consolidation of the stock Actelion rose in price for 20%.

Actelion headquarters in Switzerland

Before closing of the transaction from Actelion  the R&D NewCo company which will research will be selected with developments and clinical trials of new medicines. It will be headed by the founder and the CEO of Actelion Jean-Paul Clozel, and the chairman of the board of Actelion Jean-Pierre Garnier will become the chairman of the board of directors.

The authorized capital of the company will be $1 billion Johnson & Johnson will receive a 16 percent share in R&D NewCo and also the right to increase the share by 16%. Other actions will distribute between shareholders of Actelion.

According to one of the Swiss traders to whom Reuters refers, $30 billion — too high price which in 30 times more the revenues of Actelion expected in 2018 especially as the transaction includes only a small part R&D-подразделения.

At the same time it is only about the tenth part of market capitalization of Johnson & Johnson. They at last invest the money which is saved up in Europe — the interlocutor of news agency noted.

Analysts of Jefferies consider that hardly someone will want to kill the offer of Johnson & Johnson, and merge to Actelion does not threaten development of the competition in the pharmaceutical market. Experts of Berenberg called the transaction "fantastic for Actelion and its shareholders", considering concerns concerning long-term perspectives of growth in sales of main products of the company.^[2]

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