Valeant Pharmaceuticals has entered into a definitive agreement to acquire PreCision Dermatology, Inc. for $475 million in cash, plus an additional $25 million payable upon the achievement of a sales-based milestone. PreCision develops and markets high quality dermatology products such as Locoid, Hylatopic, Clindagel, and BenzEFoam.
"PreCision Dermatology has a wide range of medical dermatology products, treating a number of topical disease states such as acne and atopic dermatitis, and should bring tremendous value to Valeant's medical dermatology portfolio," stated J. Michael Pearson, chairman and chief executive officer of Valeant. "Furthermore, PreCision's diversified portfolio of products enjoys high physician loyalty, premium product quality and lifecycle management opportunities that will enhance our future growth strategies. We believe this acquisition will strengthen Valeant's product portfolio and solidify our position as a leader in dermatology."
PreCision operates in two key segments: Onset Dermatologics, which focuses on prescription therapies, and PrecisionMD, which focuses on physician dispensed products. The company is based in Cumberland, RI and has approximately 175 employees. PreCision expects to have approximately $130 million in revenue in 2014.