The Federal Trade Commission has extended its antitrust review of Novo Holdings’ $16.5 billion purchase of Catalent by potentially another 30 days as it requests additional information.
Both the manufacturer and the Novo Nordisk Foundation, the parent company of Novo Holdings, were tapped by the FTC on Thursday for “additional information and documentary materials,” according to Catalent’s Friday SEC filing. Once both parties send the FTC the requested information, the agency will need a further 30 days to review.
The FTC’s appraisal was already extended once. In April, the application was refiled by the Novo Nordisk Foundation, giving the FTC an extra 30 days. The Catalent deal was announced in February.
The agency’s “Second Request” falls under the Hart-Scott-Rodino Act, which allows it to take a more in-depth look at mergers that could threaten market competition. Catalent and the Novo Nordisk Foundation are gathering the information and are cooperating with the FTC, according to the filing.
“We are confident in the many benefits of the transaction with Novo Holdings, which we expect will close towards the end of calendar year 2024, subject to the approval of Catalent stockholders and receipt of required regulatory approvals,” a Catalent spokesperson told Endpoints News in an email.
As part of the February announcement, Novo Nordisk will buy three Catalent facilities from Novo Holdings to boost GLP-1 drug production. This sparked Eli Lilly to voice concerns about the deal’s wider impact on the manufacturing industry.
Prior to the Friday SEC filing, Novo Nordisk CEO Lars Fruergaard Jørgensen said on Thursday during its first-quarter earnings call with the media that its purchase of the Catalent sites would be finished by the end of the year.