AbbVie Closes $21 Billion Deal for Pharmacyclics

CHICAGO (Chicago Tribune/TNS) -

AbbVie said Tuesday that it has completed its $21 billion acquisition of Pharmacyclics, giving the North Chicago-based company a presence in the multibillion-dollar market for treating blood cancers.

Pharmacyclics, based in Sunnyvale, Calif., sells a drug called Imbruvica, which has been approved to treat a rare lymphoma and a form of leukemia. The company will be a subsidiary of AbbVie.

AbbVie said 87 percent of Pharmacyclics shares were tendered by the Friday deadline of its offer, a mix of cash and stock worth $261.25 per share. AbbVie sold $16.7 billion in bonds earlier this month to help finance its acquisition, according to The Wall Street Journal.

The deals help AbbVie branch out from its blockbuster arthritis drug Humira, which accounts for more than 60 percent of the company’s revenue. AbbVie’s bid bested two competitors, including Johnson & Johnson, a partner in developing Imbruvica. Because of that partnership, J&J will sell the drug overseas, while AbbVie will market Imbruvica in the United States.