Allergan, Pfizer call off proposed $160B merger

FILE – A Jan. 25, 2009 file photo, shows Pfizer’s world headquarters in New York. Pfizer Inc. reported Tuesday July 31, 2012, its second-quarter net income jumped 25 percent as sharply lower production, marketing and restructuring costs more than offset a plunge in revenue from cholesterol fighter Lipitor caused by generic competition. (AP Photo/Mark Lennihan, […]

by: Andy Long

Posted: Apr 6, 2016 / 06:54 AM EDT

Updated: Apr 6, 2016 / 06:54 AM EDT

NEW YORK (AP) – Allergan and Pfizer are calling off a record $160 billion merger after the Treasury issued new rules to make “tax inversions” less lucrative.

The aggressive changes to U.S. tax laws announced this week helped to kill the deal. The merger would have moved Pfizer’s address – but not its operations or headquarters – to Ireland where it would pay far less in corporate taxes.

Pfizer Inc., based in New York, has agreed to pay Allergan PLC $150 million for reimbursement of expenses.Keep checking NBC4i.com for real-time updates on this story. To get alerts for breaking news, grab the free NBC4 News App for iPhone or Android. You can also sign up for email alerts.What others are clicking on: