Perrigo Sells India API Manufacturing Plant to Strides ShasunBy
Perrigo has agreed to sell its entire shareholding in Perrigo API India to Strides Shasun, a Bangalore, India-based pharmaceutical company, for Indian rupee 1000 million ($14.8 million). The transaction includes an active pharmaceutical ingredient (API) manufacturing plant with a potential capacity of 600 tons per year in Ambernath, Maharashtra, to be used for captive consumption.
The acquisition gives Strides Shasun a plant with sales of Indian rupee 737.60 million ($10.9 million) for the financial year ended March 31, 2016 and that is valued at Indian rupee 2874 million ($42.6 million). The facility, designed to handle multi-purpose small-batch productions, fits in with Strides Shasun’s strategy of building a backward-integrated portfolio of niche and small-volume products for regulated markets.
Perrigo or its affiliates will continue to source some products from the facility under a long-term supply agreement. The transaction is subject to customary closing conditions and expected to be closed by December 31, 2016.
This move from Perrigo follows a recent announcement about the company restructuring its Branded Consumer Healthcare Business’ Omega Pharma Belgium unit.
Source: Strides Shasun