Allergan to pay Israel's Teva Pharm $700M to settle dispute

TEL AVIV (Reuters) - Allergan (NYSE:AGN) will make a one-time payment of $700 million to Teva Pharmaceutical Industries to settle a dispute over working capital, Israel-based Teva said on Thursday.

Teva will use the payment, which is expected during the first quarter of 2018, to repay part of its debt.

Teva (NYSE:TEVA) and Allergan agreed to jointly dismiss the working capital dispute arbitration.

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As of Jan. 12, 2018, Allergan owned 68.7 million shares in Teva, which it received as partial payment for Teva's $40.5 billion acquisition of Actavis Generics from Allergan in 2016.

(Reporting by Tova Cohen)