Pfizer buys out Allergan for $160 billion

US-based Global drug major Pfizer on Monday announced acquiring leading Irish pharma firm Allergan for a whopping $160 billion to create the world's biggest deal in drug business.

"Boards of Pfizer Inc., and Allergan plc have approved to merge and become a single entity under Pfizer for $160 billion in stock transaction valued at $363.63 per Allergan share," the company said in a statement here.

Earlier, in a regulatory filing to the US Securities Exchange of India, both the entities jointly said that Allergan shareholders will receive 11.3 shares of the combined firm for each of their shares and Pfizer stockholders will receive one share of the combined company for each of their shares.

"The proposed combination of Pfizer and Allergan will create a leading global pharmaceutical company with the strength to research, discover and deliver more medicines and therapies to more people the world over,a Pfizer chief executive Ian Read said in a statement later.