Morocco Fines US Pharma Firm Viatris Over Merger Notification Breach

U.S. pharmaceutical company Viatris has been fined 7.58 million dirhams ($760,000) by Morocco’s competition authority for failing to notify the regulator of its merger, according to two anonymous sources cited by Reuters. The fine stems from the company’s 2020 formation through the merger of Mylan, which operates a subsidiary in Morocco, and Pfizer’s Upjohn division.

The penalty, amounting to 2.5% of Viatris’ revenue in Morocco for the previous year, has already been paid into the Moroccan treasury, the sources confirmed. They also indicated that Viatris has chosen not to appeal the decision. The company has not provided a response to Reuters’ request for comment on the matter.

The Moroccan competition authority is now widening its scrutiny to examine other mergers that may have bypassed mandatory notification requirements. This includes a joint venture involving OCP, a leading phosphate and fertilizer producer, and Fertinagro Biotech, as well as the acquisition of Whirlpool’s Middle East and North Africa operations by Turkish appliance manufacturer Arcelik, one of the sources added.

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The case highlights Morocco’s increasing enforcement of antitrust regulations in a bid to ensure transparency and fair competition in its markets.

Viatris, which has a significant global presence, was established to enhance access to medicines worldwide. However, this recent development underscores the importance of adhering to local regulatory frameworks in international markets.

Source: Reuters