Allergan is buying pharma giant Pfizer in a reverse merger that creates the world’s largest drug manufacturing company with a value of more than $150 billion. The board of the two companies approved the deal on Sunday and would likely formally announce the buy-in on Monday.

The Wall Street Journal reports that the takeover would enable New York-based Pfizer to move overseas and benefit from lower corporate tax rates. Allergan, the smaller of the two companies, is based in Dublin.

Because of the 25 percent tax rate on Pfizer, the pharma giant attempted in 2014 to offer an agreement with AstraZeneca, but the UK-based drug maker rejected the offer. Analysts estimate the deal with Allergan would cut Pfizer’s tax rate to 20 percent. Allergan enjoys about 15 percent tax rate, also because of an inversion deal after Actavis purchased Allergan which was the corporate name retained for the merged firm.

However, the merged giant would still be under Pfizer control with Ian Read, chief executive of Pfizer, leading the company. Allergan CEO Brent Saunders will become president and chief operating officer.

Pfizer would pay 11.3 of its shares for every Allergan share. There is also a small cash component, but it would account for less than 10 percent of the deal’s worth, Reuters reports.

Pfizer is known for Prevnar, a pneumonia drug, erectile dysfunction drug Viagra and nerve pain medication Lyrica, while Allergan is the maker of Botox, an anti-wrinkle treatment. With their merger, consumers would have a wide range of medicines and vaccines available to cover more ailments such as Alzheimer’s, cancer, eye diseases and rheumatoid arthritis.

Among Pfizer’s new drugs is Ibrance for breast cancer, expected to boost its $50 billion revenue in 2014. Allergan sold $13 billion drugs in 2014, although it lost sales after Lipitor, a cholesterol medication, battled generic drugs from competitors.

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