Pfizer to acquire King Pharmaceuticals

Major pharmaceutical provider Pfizer has announced the acquisition of King Pharmaceuticals in a deal that will streamline Pfizer's ability research, develop and deliver medicinal drugs to patients around the country.

Pfizer will acquire the Briston, Tennessee-based King in a deal worth $3.6 billion. The two parties are the midst of a "definitive merger agreement," said Pfizer CEO Jeffrey Kindler, that will allow the provider to "offer a fuller spectrum of treatments for patients across the globe who are in need of pain relief and management."

"The revenue generated by King's portfolio will further diversify Pfizer's business, while at the same time contributing to steady earnings growth and shareholder value," Kindler added.

The deal was spurred by the impending patent expiration on one of Pfizer's most profitable drugs, Lipitor. As the cholesterol-lowering medication's formula is set to become public, Pfizer is looking for new ways to generate revenue.

Pfizer will tender an offer for all outstanding shares of King later this week.