Perrigo Gets Deal For Store Brand Blood Glucose Monitoring Products

Allegan-based Perrigo Co. (Nasdaq: PRGO) announced that it has entered into an exclusive agreement with Salem, N.H.-based AgaMatrix Inc. to sell and distribute blood glucose monitors and test strips in the United States store brand market.

As part of the agreement, Perrigo will sell and distribute certain products in the current AgaMatrix portfolio as well as certain future new products.

AgaMatrix is a privately held company focused entirely on innovative solutions for people with diabetes. Their technologies have been commercially available since 2006.

Terms of the deal were not disclosed.

Market analysis shows that more than $2.8 billion is spent annually on glucose monitoring meters and test strips in the U.S. Perrigo will use its existing store brand retail channels to expand distribution of the new blood glucose meters and testing strips to consumers this year. In addition, the company will continue to explore a full range of diabetes care products that extends beyond blood glucose monitoring.

"Entering this adjacent product category has been high on our strategic priority list due to the fact that the growing diabetic community has an increasing demand for more quality, affordable healthcare options," Perrigo CEO Joseph C. Papa said. "It is well known that regular blood glucose testing is critical to effective diabetes management. What is also well known is that the cost of testing strips and supplies often prevents many diabetics from testing as often as they should. The Center for Disease control estimates that one in three Americans will develop diabetes in their lifetime. Given the strong patient demand for high quality and value in this segment, we are very pleased to have completed this deal with AgaMatrix who, we believe, has industry-leading quality and technology."

Perrigo develops, manufactures and distributes over-the-counter and generic prescription pharmaceuticals, infant formulas, nutritional products, active pharmaceutical ingredients and pharmaceutical and medical diagnostic products. Perrigo is the world's largest store brand manufacturer of OTC pharmaceutical products and infant formulas. The company's primary markets and locations of manufacturing and logistics operations are the United States, Israel, Mexico, the United Kingdom and Australia.

More at www.perrigo.com.