Part of aim to focus on areas where most value can be added, says Strides
Indian pharmaceutical company Strides Arcolab is to buy some of Aspen's generic and branded prescription products in two transactions totalling around US$300m.
The first deal covers Aspen Australia's portfolio of approximately 130 products, which will become part of Strides Australia in a A$265m (US$207m) deal. The products include a generic pharmaceutical business plus certain branded pharmaceutical assets, which brought in sales of A$106m and made a direct contribution to profit before tax of A$26m for the year to 30 June 2014. The business will operate under the Arrow Pharmaceuticals brand, Strides said.
In the second deal, Aspen Global Incorporated of Mauritius will sell six branded prescription products to Strides Singapore for US$92m. These products had sales of US$12m and made a US$10m contribution to pre-tax profit to 30 June 2014.
Strides Australia and Strides Singapore are wholly owned subsidiaries of Strides Arcolab.
Aspen said the transactions were in line with its aim 'to focus on areas where most value can be added and to lessen complexity'.