UPDATE 2-Salix to buy Oceana Therapeutics for $300 mln

Tue Nov 8, 2011 5:29pm EST

* Sees deal to modestly add to 2012 earnings

* Expects to close deal in December 2011

Nov 8 (Reuters) - Salix Pharmaceuticals Ltd said it would buy privately held Oceana Therapeutics for $300 million in cash to gain access to Oceana's urology treatments.

Oceana Therapeutics' bowel control treatment Solesta was approved by the U.S. Food and Drug Administration in May. Its other approved treatment, Deflux, is used to treat abnormal flow of urine in children.

Salix said Solesta peak-sales could exceed $500 million.

Salix expects the deal to modestly add to its 2012 earnings and be highly accretive thereafter.

The deal is expected to close in December 2011.

Separately, Salix reported third-quarter earnings that beat market estimates and raised its 2011 revenue outlook.

Shares of Salix closed at $34.65 on Tuesday on Nasdaq.

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