Allergan

Allergan is a  manufacturer of cosmetic products. The company is known primarily for creating "Botox," used to smooth facial wrinkles.

History

2022

Dismissal of 90% of employees in Russia

The American company Allergan, which produces Botox and Juvederm fillers, has reduced 90% of the staff in Russia. This was reported in early September 2022 by the Лента.ру edition with reference to the Bloody Lady Telegram channel.

According to the source, employees of the sales department, drug promotions and medical workers fell under the reduction. By the beginning of September 2022, the Russian Federation has only an office responsible for, in fact, staff reduction.

Allergan laid off 90% of employees in Russia

One of the dismissed Allergan employees told the Telegram channel that they learned about the reduction at a meeting at the end of August 2022, while everyone was paid compensation due under the law.

In March 2022, the American company AbbVie, which includes Allergan, suspended the supply of products for aesthetic medicine to Russia. We are talking about botulinum toxin, fillers and silicone implants Allergan Aesthetics. In addition, the company temporarily refused to conduct new clinical trials in Russia, as well as screening and recruitment of participants in current studies.

In May 2022, it became known that Anthony Wong, who had led Ebbwi LLC since 2013, had left the post of general director. He was replaced by Nina Herodukhova, who previously held the same position in the Russian division of Allergan.

Earlier in 2022, plastic surgeons predicted an increase in prices for breast augmentation operations for Russian women. According to them, the clinics faced logistics difficulties and a shortage of foreign products. Some doctors argue that implants may soon disappear completely. There are no Russian analogues in this area, all of them are produced abroad.

"We are waiting for a certain shortage of implants, their running size. The surgeon will have the task not only to choose from hundreds of different products, but to choose the right one for what is, "explained doctor Georgy Chemyanov and complained that in this case plastic surgery will return to the level of development of the early 2000s.^[1]

Teva and AbbVie fined $162 million for uncontrolled sale of narcotic drugs

On May 25, 2022, Teva Pharmaceutical Industries and Allergan (part of the AbbVie group) reached an agreement worth $161.5 million to settle claims about the companies fomenting the opioid epidemic in West Virginia, said state Attorney General Patrick Morrisay. Read more here.

2021: Payment of $200 million compensation in the case of the death of hundreds of thousands of people due to overdose

On December 8, 2021, Allergan, considered the world's largest manufacturer of breast implants, agreed to pay $200 million under a settlement agreement and stops selling opioids. The company settled a lawsuit out that alleged the New York drugmaker helped fuel the state's opioid crisis.

The case was the first of its kind brought against the entire opioid supply chain from drug companies making the pill to distributors and pharmacy chains. The $200 million payment means Allergan, which is under its corporate umbrella, will be removed as a defendant in the opioid lawsuit. The company must pay the agreed amount by mid-2022.

Biggest breast implant maker Allergan to pay $200m in death case of hundreds of thousands due to overdose

New York Attorney General Letitia James announced the settlement, the day closing arguments were to be heard in a trial that lasted five months from July 2021. $150 million of the amount will be directed to opioid addiction recovery programs.

Other defendants in this sprawling case, such as Johnson & Johnson, Cardinal Health, AmerisourceBergen and McKesson, will pay a combined $26 billion to states and municipalities. Johnson & Johnson, as a manufacturer, was accused of underestimating the degree of addiction that drugs cause and will pay $5 billion until 2030, while distributors had to control the volume of drugs prescribed by doctors, but did not do this, their payments will amount to $21 billion until 2039. As part of the agreement, Johnson & Johnson will not be able to produce opioids until 2031, and distributors will have to create a transparent drug distribution system. In the lawsuit in New York, the defendants remain the manufacturer of Teva Pharmaceuticals USA and one of the subsidiaries distributing drugs in Anda pharmacies.

The opioid crisis of the 1990s is believed to have been triggered precisely by the over-prescribing of prescription devolumbers with opioid constituents for both seriously ill and wider patient audiences. At the same time, the problem received the status of a crisis only in 2017. Since 2019, the growing number of overdoses has been associated with the growing popularity of cheap synthetic drugs and the availability of heroin, in 2020 the number of overdose deaths became a record 70 thousand people, and 4-6% of those who used painkillers with opioids begin to use heroin. According to the US Drug Enforcement Administration, 144 people die as a result of overdose, 63% of the number of deaths are in prescription drugs of the opioid group, heroin and fentanyl.^[2]

2019: AbbVie buys Allergan for $63bn

On June 25, 2019, AbbVie announced the acquisition of Allergan for $63 billion. In terms of one share of the company being absorbed, the transaction value amounted to $188, which is 45% more than the rate of quotations by the close of the exchange on June 24. AbbVie will pay with cash and its own shares.

The purchase of Allergan will open AbbVie access to the Botox market, which is estimated at $8 billion, and will also make money on the sale of popular drugs in ophthalmology. By the end of June 2019, AbbVie receives a steady income from Humira  , the world's most popular drug for rheumatoid arthritis.

Botox maker Allergan sold to AbbVie for $63 billion

Allergan and AbbVie product portfolios overlap in the segments of brain activity enhancers, women's health, drugs against stomach diseases and other diseases. At the same time, AbbVie will enter  the new sector of skin smoothing, eyelash extension and elimination of the double chin.

After the deal closes, two members of Allergan's board, including the company's CEO Brent Saunders, will sit on AbbVie's board. AbbVie Chief Executive Officer and Chairman Richard Gonzalez will take similar positions at the merged corporation.

AbbVie notes that the deal will provide annual pre-tax synergies and other cost reductions of at least two billion dollars over the third year, with approximately 50% of the savings coming from optimizing new developments as well as reducing duplicate R&D resources.^[3]

The market capitalization of the combined company may exceed $150 billion, and annual revenue - $48 billion.

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