Watson Pharmaceuticals Confirms buyout of Actavis

Watson Pharmaceutical share sky rocketed April 26 after the company confirmed the rumors regarding the buyout of Swiss drug maker Actavis. The company announced that it would be paying roughly $5.9 billion for the acquisition which places Watson third in global markets.

The deal is supposed to play out like this; Watson will pay $5.9 billion cash upfront then extend certain considerations. Should Actavis reach particular goals for 2012 the stakeholders would receive 5.5 million shares of Watson common stock in 2013 valued at approximately $330 million.