U.S. Markets closed

Perrigo will buy UK's Rosemont Pharma for $283M

NEW YORK (AP) -- Perrigo Co., which makes over-the-counter drugs, said Monday it will expand its U.K. business by buying Rosemont Pharmaceuticals Ltd. for about $283 million in cash.

Allegan said the deal will give it more liquid drugs and bolster its net income in 2013. The Allegan, Mich., company said Rosemont had about $60 million in revenue in 2012, and its products include both specialty and generic prescription drugs.

Perrigo said the deal should add about 8 cents per share to its annual net income if one-time items are excluded. The company now expects to earn between $5.53 and $5.73 per share on an adjusted basis for the year.

Analysts expected $5.57 per share on average, according to FactSet.

Shares of Perrigo rose $1.87 to $110.17 in midday trading.