Concordia Healthcare (NASDAQ: CXRX) has entered into an agreement to acquire Cinven portfolio company Amdipharm Mercury (AMCo) for $3.5 billion. The total purchase price will consist of a cash consideration of $1.2 billion, 8.49 million common shares valued at about $700 million and the assumption of approximately $1.4 billion in AMCo debt. In addition, the transaction allows for a maximum performance-based earn-out of nearly $220 million. Once the acquisition closes, Cinven will hold an expected 19.9% ownership interest in Concordia on a non-diluted basis. Concordia focuses on legacy pharmaceutical products and orphan drugs, while AMCo provides niche medicines in more than 100 countries. The combined entity is expected to generate $870 million and $510 million in revenue and adjusted EBITDA, respectively, on a pro forma basis. Goldman Sachs, Jefferies and Rothschild Group are acting as financial advisors on the deal.