Bristol-Myers Squibb agrees to purchase DuPont’s drug business

Drug manufacturer Bristol-Myers Squibb agreed yesterday to purchase DuPont Co.’s drug business for $7.8 billion, a deal that would boost Bristol-Myers’ line of AIDS drugs, the Washington Post reports.

Among other drugs, Bristol-Myers will acquire DuPont’s best-selling AIDS drug Sustiva – a component of some triple-combination drug therapies – which garnered $386 million in sales last year for DuPont (Washington Post, 08/06). In addition, DuPont has three AIDS drugs in development. Bristol-Myers manufactures the AIDS drugs Zerit and Videx – both also drugs used in some three-drug therapies – and also has new AIDS therapies under development. AIDS advocates, who plan to file a protest of the consolidation with the FTC, say it will lead to decreased competition and fuel higher AIDS drug prices.

However, Bristol-Myers spokesperson Charles Borgognoni said the company believes the AIDS drug production market will remain equally competitive following the consolidation. “Our perspective going into the deal is we don’t expect there will be any overt regulatory problems,” he said. The deal still requires regulatory approval, and is expected to be completed by the end of the year (Clendenning, Associated Press, 08/06).