AmerisourceBergen to spend $2.5 billion buying animal health product supplier MWI Veterinary

Markets Associated Press

Pharmaceutical distributor AmerisourceBergen is spending about $2.5 billion to expand its reach into veterinary medicine with the purchase of MWI Veterinary Supply.

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AmerisourceBergen Corp. says it will pay $190 in cash for each share of MWI, a premium of 8 percent to the closing price of MWI shares on Friday, the last day before the deal was announced. The companies expect to close the deal early this year.

MWI Veterinary Supply Inc. sells animal health products in the United States and United Kingdom.

AmerisourceBergen says the deal will add about 8 cents per share to its fiscal 2015 adjusted earnings. It expects to finance the purchase with cash and long-term debt.

Shares of both companies started climbing in early morning trading.