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US-based pharmaceutical firm AbbVie has succeeded in acquiring Dublin-based drugmaker Shire on Friday.

The deal, announced on 20 June, has now been accomplished for $55 billion. The deal has marked the end of a three-decade old drugmaker in Shire.

Meanwhile, according to Dealogic, the deal was fixed for $56 billion last month.

However, the company will save its tax bill, by reincorporating in Britain using tax inversion method. For the purpose of falling under beneficial taxation ethics, inversion method is used by many companies. In this method, a particular company becomes a subsidiary of a new parent company in another country.

According to Reuters, AbbVie will pay about 52.48 or (53) pounds per share to Shire.

AbbVie, formed in 2013 following separation from Abbott Laboratories, is known for its top-selling anti-inflammatory drug Humira, whereas Shire makes drugs like Vyvanse to treat hyperactivity and other expensive medicines for rare diseases.

"The combination of AbbVie and Shire is attractive for shareholders of both companies," Chicago Tribune quoted Richard Gonzalez, AbbVie's chief executive officer.

According to a Financial Times report, under the agreement of the latest offer made by AbbVie last week, shareholders would get $41.78 in cash and 0.8960 part in AbbVie shares for every Shire share. This would give Shire holders approximately 25 percent of entity.

After Pfizer's failed attempts to acquire AstraZeneca in April for £69.4 billion, Shire is the second FTSE 100 member to be successfully taken over by US-based AbbVie. The company is listed in European stock market but it conducts most of its research and development activities in America.

This deal would add to the $260 billion of deals in pharmaceutical, medical and biotech sector this year. According to market experts, healthcare sector would undergo a wave of consolidation in 2014.

However, a few officials are against tax inversion method.

"We should not be providing support for corporations that seek to shift their profits overseas to avoid paying their fair share of taxes," Chicago Tribune quoted Treasury Secretary Jacob J Lew.

AbbVie expects the deal to add $1 dollar per share of profits by 2020. The company said that it will "maintain a strong commitment to a growing dividend and to implement a significant share repurchase program".

As on Thursday, stock price of AbbVie Inc on New York Stock Exchange market was recorded at $53.52 dollar. But the share price closed lower by $0.13 and 0.24 percent.