ALLEGAN— Perrigo Co. is plunking down $44 million in cash to buy Holland-based JB Laboratories in a deal that’s expected to add more than $70 million in annual sales to Perrigo’s bottom line and give the company an immediate increase in capacity and room for growth.
JB Labs is a privately held company that manufactures vitamins, pharmaceuticals and nutritional supplements. It has been doing manufacturing products for Perrigo for 25 years, said Perrigo spokesman Art Shannon. John Henderickson, Perrigo executive vice president and JB Laboratories owner William Baker announced the sale at a news conference Tuesday morning at JB’s headquarters in
JB Labs’ two facilities in
JB Labs was attractive to Perrigo because it’s a high-quality, FDA-approved manufacturer with a good history with the FDA and it’s already Current Good Manufacturing Processes Compliant so it will hit the ground running,
“We knew them already, they we’re right in our backyard, and we have a lot of respect for the company and their employees,”
“The acquisition of JB Laboratories will further expand our high-quality manufacturing base and provide additional FDA-approved production capacity to help us service our current and future customer needs,” stated Perrigo chairman and CEO Joseph C. Papa.
Unrelated to the JB Labs deal, in July Perrigo announced a $10.5 million expansion of its Allegan facility and the addition of 400 jobs over the next five years. Perrigo is a global health care supplier that develops, manufactures and distributes over-the-counter and prescription pharmaceuticals, nutritional products, active pharmaceutical ingredients and consumer products. It’s the largest manufacturer of OTC pharmaceutical products for the store brand market.