EU Panels OKs Bayer-Chiron Deal
BRUSSELS, Belgium (AP) _ The European Union Commission on Wednesday cleared the takeover of U.S. technology and drug company Chiron Corp.’s clinical diagnostics division by German pharmaceutical giant Bayer AG.
The EU Commission said in a statement the change would not hinder competition in the relevant markets.
Under the terms of the deal, Emeryville, Calif.-based Chiron, will receive $1.1 billion from Bayer AG for its in-vitro diagnostic business and will receive license fees and royalties for HIV-related intellectual property.
Chiron will keep its profitable blood-screening business, which last year recorded a $93 million operating profit.
The unit makes and sells blood chemistry tests and systems that check tissue samples for infectious agents.
Chiron will have three remaining business units: one that develops vaccines, a second that sells cancer treatments and a third that uses genetic engineering techniques to develop new drugs.