Pfizer generic

A file photo of a Pfizer facility in Groton, Conn. (Elise Amendola file)

(Elise Amendola)

KALAMAZOO, MI -- In the wake of tax law changes announced by the US Treasury this week, pharmaceutical companies Pfizer Inc. and Allergan are calling off a $160 billion merger.

The merger would have moved Pfizer's address -- but not its headquarters -- to Ireland where it would pay far less in corporate taxes.

The Perrigo Company in Allegan made such a move in 2013.

Just before Thanksgiving, Pfizer and Allergan announced that they hoped to merge in a record $160 billion deal to create a family of drugs such as Pfizer's Lyrica, Enbrel and Viagra and Allergan's Botox and Restasis.

Pfizer's Portage manufacturing plant on Portage Road is its largest, employing more than 1,800 employees. It has a taxable value of just over $300 million and contributes more than $2.9 million in taxes to Portage alone.

The Associated Press reported Wednesday that the the tax changes make such headquarters moves less lucrative, and that Pfizer Inc., based in New York, has agreed to pay Allergan PLC $150 million for reimbursement of expenses.

Rosemary Parker is a reporter for MLive. Contact her at rparker3@mlive.com.