Novartis to purchase 52 percent of Alcon

Novartis set up the deal in April 2008, when it purchased 23 percent of Alcon for $10.4 billion, The Times of London Online reported Monday.

The price per share in the new deal is set at $180 per share, up from the $143 per share it paid for the first 23 percent. In addition, it is offering 2.8 Novartis shares for the shares it has yet to purchase, which would value the outstanding Alcon shares at $137.

Alcon is a leading producer of contact lens solutions and medical devices pertaining to eye surgery.

"The addition of Alcon will strategically strengthen our healthcare portfolio and our position in eye care, a sector with dynamic growth due to the increasing patient needs of an aging population," said Daniel Vasella, the chairman and chief executive of Novartis.

Novartis said it would realize a savings of $200 million a year in operating costs, the Times reported.

Copyright 2010 by United Press International.