AmerisourceBergen Announces Sale of AndersonBrecon

Tue Apr 2, 2013 7:00am EDT

* Reuters is not responsible for the content in this press release.

VALLEY FORGE, Pa.--(Business Wire)--
AmerisourceBergen Corporation (NYSE: ABC) today announced that it has signed a
definitive agreement to sell its contract packaging business, AndersonBrecon, to
an entity formed by affiliates of an investor group led by Frazier Healthcare
VI, L.P. for the purpose of acquiring AndersonBrecon. The purchase price for the
transaction is $308 million in cash, subject to customary adjustments for, among
other things, the working capital of the business. The investor group includes
affiliates of Greenspring Associates, QIC Global Private Equity, and Thomas
McNerney & Partners. The transaction is subject to customary closing conditions,
including receipt of certain regulatory reviews, and is expected to close in the
third quarter of fiscal 2013, which ends June 30, 2013. 

The results of operations of AndersonBrecon were previously and continue to be
reported within discontinued operations. Therefore, the agreement has no impact
on AmerisourceBergen`s financial performance expectations for fiscal 2013, which
were revised on March 28, 2013. Any gain on the sale of AndersonBrecon would be
recorded also within discontinued operations upon transaction closing, and is
excluded from our fiscal 2013 revised financial expectations. 

"We are pleased that AndersonBrecon will join well-established firms heavily
invested in the healthcare services market, including the pharmaceutical
contract packaging sector," said Steven H. Collis, AmerisourceBergen President
and Chief Executive Officer. "This transaction will help ensure that
AndersonBrecon will continue to thrive in the years ahead, and allows
AmerisourceBergen to focus on its distribution, specialty and manufacturer
services businesses." 

In June 2012, Frazier Healthcare acquired the US commercial contract
pharmaceutical packaging operation of Catalent Pharma Solutions, which it
operates as Packaging Coordinators, Inc. AndersonBrecon will combine with
Frazier Healthcare portfolio company, Packaging Coordinators, Inc (PCI). The
combined companies represent an opportunity to provide healthcare services to
pharmaceutical and biotechnology companies on a global scale. Nathan Every,
Frazier Healthcare General Partner and PCI board member commented, "We are
pleased to merge two stellar players within the pharmaceutical and biotech
packaging business and believe that the combined company will deliver industry
leading quality and service to our customers and a world-class environment for
our employees." 

About AmerisourceBergen

AmerisourceBergen is one of the world's largest pharmaceutical services
companies serving the United States, Canada and selected global markets.
Servicing both healthcare providers and pharmaceutical manufacturers in the
pharmaceutical supply channel, the Company provides drug distribution and
related services designed to reduce costs and improve patient outcomes.
AmerisourceBergen's service solutions range from niche premium logistics and
pharmaceutical packaging to reimbursement and pharmaceutical consulting
services. With over $80 billion in annualized revenue, AmerisourceBergen is
headquartered in Valley Forge, PA, and employs approximately 13,000 people.
AmerisourceBergen is ranked #29 on the Fortune 500 list. For more information,
go to 

Cautionary Note Regarding Forward-Looking Statements

Certain of the statements contained in this press release are "forward-looking
statements" within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. Words such as "expect,"
"likely," "outlook," "forecast," "would," "could," "should," "can," "will,"
"project," "intend," "plan," "continue," "sustain," "synergy", "on track,"
"believe," "seek," "estimate," "anticipate," "may," "possible," "assume,"
variations of such words and similar expressions are intended to identify such
forward-looking statements. These statements are based on management's current
expectations and are subject to uncertainty and change in circumstances. These
statements are not guarantees of future performance, are based on assumptions
that could prove incorrect or could cause actual results to vary materially from
those indicated. Among the factors that could cause actual results to differ
materially from those projected, anticipated or implied are the following:
changes in pharmaceutical market growth rates; the loss of one or more key
customer or supplier relationships; changes in customer mix; customer
delinquencies, defaults or insolvencies; supplier defaults or insolvencies;
changes in pharmaceutical manufacturers' pricing and distribution policies or
practices; adverse resolution of any contract or other dispute with customers or
suppliers; federal and state government enforcement initiatives to detect and
prevent suspicious orders of controlled substances and the diversion of
controlled substances; qui tam litigation for alleged violations of fraud and
abuse laws and regulations and/or any other laws and regulations governing the
marketing, sale, purchase, and/or dispensing of pharmaceutical products or
services and any related litigation, including shareholder derivative lawsuits;
changes in federal and state legislation or regulatory action affecting
pharmaceutical product pricing or reimbursement policies, including under
Medicaid and Medicare; changes in regulatory or clinical medical guidelines
and/or labeling for the pharmaceutical products we distribute, including certain
anemia products; price inflation in branded pharmaceuticals and price deflation
in generics; greater or less than anticipated benefit from launches of the
generic versions of previously patented pharmaceutical products; significant
breakdown or interruption of our information technology systems; our inability
to realize the anticipated benefits of the implementation of an enterprise
resource planning (ERP) system; interest rate and foreign currency exchange rate
fluctuations; risks associated with international business operations, including
non-compliance with the U.S. Foreign Corrupt Practices Act, anti-bribery laws
and economic sanctions and import laws and regulations; economic, business,
competitive and/or regulatory developments outside of the United States; risks
associated with the strategic, long-term relationship among Walgreen Co.,
Alliance Boots GmbH, and AmerisourceBergen, including the failure to obtain the
required U.S. and foreign antitrust regulatory approvals for the equity
investments by Walgreens and Alliance Boots in AmerisourceBergen, the occurrence
of any event, change or other circumstance that could give rise to the
termination, cross-termination or modification of any of the transaction
documents among the parties (including, among others, the distribution agreement
or the generics agreement), an impact on our earnings per share resulting from
the issuance of the warrants, an inability to realize anticipated benefits
(including benefits resulting from participation in the Walgreens Boots Alliance
Development GmbH joint venture), the disruption of AmerisourceBergen`s cash flow
and ability to return value to its stockholders in accordance with its past
practices, disruption of or changes in vendor, payer and customer relationships
and terms, and the reduction of AmerisourceBergen`s operational, strategic or
financial flexibility; the acquisition of businesses that do not perform as we
expect or that are difficult for us to integrate or control; our inability to
successfully complete any other transaction that we may wish to pursue from time
to time; changes in tax laws or legislative initiatives that could adversely
affect our tax positions and/or our tax liabilities or adverse resolution of
challenges to our tax positions; increased costs of maintaining, or reductions
in our ability to maintain, adequate liquidity and financing sources; volatility
and deterioration of the capital and credit markets; and other economic,
business, competitive, legal, tax, regulatory and/or operational factors
affecting our business generally. Certain additional factors that management
believes could cause actual outcomes and results to differ materially from those
described in forward-looking statements are set forth (i) in Item 1A (Risk
Factors) in the Company's Annual Report on Form 10-K for the fiscal year ended
September 30, 2012 and elsewhere in that report and (ii) in other reports filed
by the Company pursuant to the Securities Exchange Act of 1934. You are
cautioned not to place undue reliance on these forward-looking statements, which
speak only as of the date they are made. Except to the extent required by law,
AmerisourceBergen does not undertake, and expressly disclaims, any duty or
obligation to publicly update any forward-looking statement after the date of
this report, whether as a result of new information, future events, changes in
assumptions or otherwise.

AmerisourceBergen Corporation
Barbara Brungess, 610-727-7199

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