Perrigo Completes Divestiture of API Business For $110 Million
Perrigo has completed its previously announced divestiture of its active pharmaceutical ingredient (API) business based in Israel to SK Capital, a New York, New York-based private investment firm focused on the specialty materials, chemicals and pharmaceuticals sectors, for $110 million. The divestiture was announced in August 2017.
As part of the transaction, the parties agreed to enter into a long-term supply agreement for Perrigo API to supply multiple existing commercial and pipeline APIs to Perrigo. Earlier in April 2017, Perrigo completed the sale of its India API business to Strides Shasun, a Bangalore, India-headquartered pharmaceutical company.
The acquisition complements other companies that SK owns and operates in the API and finished dosage form value chain, including the specialty API producers, Noramco, based in Wilmington, Delaware, and Tasmanian Alkaloids based in Westbury, Australia, and Halo Pharmaceutical, a contract development and manufacturing organization, based in Whippany, New Jersey. These companies will continue to operate independently.