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DEERFIELD, Ill. (AP) _ Baxter Healthcare Corp. has agreed to acquire the injectable generic medicines business of Wyeth's ESI Lederle for about $305 million cash, the two companies announced Monday.

ESI Lederle manufactures and distributes injectable drugs used in the U.S. hospital market. Under the agreement, Baxter will acquire its generic injectable products as well as brands for which the patents have expired.

Baxter Healthcare, the main operating subsidiary of Baxter International Inc., also gets a 330,000-square-foot facility for manufacturing injectable, small-volume drugs in Cherry Hill, N.J., and approximately 1,000 employees.

Harry M. Jansen Kraemer, Jr., Baxter's chairman and chief executive officer, said the company will integrate ESI Lederle's injectable drug portfolio into its medication delivery business and expand the business.

Baxter also said the acquisition also will provide a cost-effective source of vials and ampules for the company. It said the deal would not hurt earnings in 2003 and would add to earnings after that.

Madison, N.J.-based Wyeth _ which changed its name from American Home Products in March _ had $14.1 billion in sales last year, nearly double the $7.7 billion of Baxter International. Its major divisions include Wyeth Pharmaceuticals, Wyeth Consumer Healthcare and Fort Dodge Animal Health.

Baxter shares rose $1.00 to close at $51.40 Monday on the New York Stock Exchange, while Wyeth shares rose $1.11 cents to $54.13.

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On the Net:

http://www.baxter.com

http://www.wyeth.com