Bayer to Sell Rx Dermatology Business to LEO PharmaBy
Bayer has agreed to sell its global prescription dermatology unit to LEO Pharma, a Ballerup, Denmark-headquartered specialist in dermatology care. The portfolio to be acquired includes branded topical prescription treatments for acne, fungal skin infections, and rosacea (a skin disease) as well as topical steroids. The products to be acquired had 2017 turnover of more than EUR 280 million ($324 million).
Bayer’s medical dermatology portfolio includes prescription treatment solutions for acne (Skinoren [azelaic acid]), fungal skin infections (Travogen [isoconazole] and Travocort [isoconazole, diflucortolone]), and rosacea (Finacea [azelaic acid]) as well as a range of topical steroids (Advantan [methylprednisolone], Nerisona [diflucortolone], and Desonate [desonide]). The transaction does not include Bayer’s over-the-counter dermatology portfolio of brands such as Bepanthen (panthenol) and Canesten [clotrimazole] among others.
LEO Pharma will acquire the global product rights, except for Afghanistan and Pakistan, and take over the sales and marketing organizations in 14 countries, as well as a factory in Segrate, Italy. In total, around 450 people will join LEO Pharma as part of this transaction.
The acquisition is expected to close in two steps: during 2018 for the US, and during the second half of 2019 for all other markets, subject to the satisfaction of customary closing conditions, including approval by the competition authorities. Financial details of the transaction were not disclosed.
LEO Pharma also acquired Astellas Pharma’s global dermatology business in 2016 for approximately $718 million.