- The Best Source for online news
The Hyderabad-Deccan English Daily
Anmol Ratan - May Solve BP and Sugar Problems

Strides to sell Agila Specialties to Mylan

Bangalore, Feb 28 (IBNS): Strides Arcolab Limited, a global pharmaceutical company, on Thursday announced that it has entered into a definitive agreement for the sale of its specialties subsidiary, Agila Specialties Private Limited, and simultaneously its overseas specialties subsidiary, Agila Specialties Asia Pte. Limited, Singapore, has entered into a definitive agreement for the sale of its subsidiaries to Mylan Inc.

Under the terms of the agreement, Strides and its subsidiary will receive an aggregate sum of US$1,600 million in cash on closing and a potential additional consideration of up to US$250 million subject to the satisfaction of certain conditions by Strides.

As announced simultaneously, the division recorded sales of US$255 million and EBITDA of US$86 million for the historical year ended 31 December, 2012.

The transaction has been independently approved by the respective Board of Directors of Strides and Mylan.

The agreement to sell Agila Specialties Asia Pte. Limited, Singapore, has been independently approved by the respective Board of Directors of Agila Specialties Asia Pte. Limited and Mylan.

Following successful closing of the transaction, Strides proposes to utilise proceeds towards, inter alia, retiring debt, providing a pre-tax return of approximately US$700 million to US$800 million to shareholders, and costs related to the satisfaction of contingent conditions.

Headquartered in Bangalore, India, Agila is a leading global speciality injectables business focused on key domains including oncolytics, penems, penicillin, cephalosporins and ophthalmics in India and overseas.

Agila operates from nine world-class global manufacturing facilities, including one of the largest sterile capacities in India and amongst the largest lyophilisation capacities in the world.

Headquartered in Pittsburgh, Pennsylvania, USA, Mylan is a global pharmaceutical company with a growing portfolio of more than 1,100 generic pharmaceuticals and several brand medications.

In addition, it offers a wide range of antiretroviral therapies and operates one of the largest active pharmaceutical ingredient manufacturers. The company currently markets products in approximately 140 countries and territories and employs a workforce of more than 20,000 people.

Strides will continue to operate and develop its Pharma business and front-end businesses in India and Africa. Strides will also focus on developing a fully integrated Biotech business which will be fully funded post this transaction.

Commenting on the transaction, Arun Kumar, Executive Vice Chairman and Group CEO of Strides Arcolab, said: "The sale of Agila demonstrates our commitment to maximising value to our shareholders. Our investments in the business, together with the operational excellence of our employees, have led to the creation a global, high-quality specialty injectables business with an industry-leading pipeline and best-in-class infrastructure."

V.S. Iyer, CEO of Agila Specialties, said "This transaction is an endorsement of the world-class capabilities the Agila team has created and serves as a perfect bolt-on strategy for the future of Agila and its employees."

Heather Bresch, CEO of Mylan, said: "The addition of Agila to Mylan's existing injectables platform will immediately create a new, powerful global leader in this fast-growing, attractive market segment and accelerate our target of becoming a top-three global player in injectables."

The transaction is subject to customary conditions, including receipt of required regulatory approvals.

Jefferies International Limited is acting as sole financial advisor to Strides Arcolab. Herbert Smith Freehills LLP is acting as lead international counsel, supported by DSK Legal, Haynes and Boone, LLP, and Pinheiro Neto Advogados.



No comments yet! Be the first one to leave a comment.

Add Comment

Enter the number in the image on the right Enter the Numbers in the image

Related News


Business News IAI displayed at the 2014 International Autonomous Unmanned Systems and Robotics Expositio in Israel
IAI displayed at the 2014 International Autonomous Unmanned Systems and Robotics Expositio in Israel RISHON LEZION, Nov. 26, 2014 - The Super Heron HF is displayed during the 2014 International Autonomous Unmanned Systems and Robotics (AUS&R) Exposition in Rishon Lezion, Israel, on Nov. 26, 2014. Israel Aerospace Industries (IAI) displayed during the exposition a new electro-optical payload for its Heron drones at a local unmanned systems and robotics exposition on Wednesday. A company statement said that several flight demonstrations were recently conducted in Israel in which the Super Heron HF, a medium altitude long endurance (MALE) drone, was fitted with the MIST-G payload for the first time. (Xinhua/Li Rui) ... Read More
Latest Headlines
Right Arrow Planning Commission to function till replaced: Centre
Right Arrow Airtel launches its 4G service in Africa
Right Arrow 25 percent of India's districts affected by land conflicts due to acquisition by state: Study
Right Arrow Sensex trades flat; IT stocks gain on 27th Nov 2014
Right Arrow Nigerian opposition criticise government for currency naira devaluation
Right Arrow Government draws up plan to raise power generation
Right Arrow Way out of debt crisis far from easy: German Chancellor Angela Merkel
Right Arrow IT industry creates more jobs than public sector: Infosys co-founder N.R. Narayana Murthy
Right Arrow Act of Bharti Airtel can't be attributed to Mittal, Supreme Court told
Right Arrow Black money: 250 admit to foreign accounts, more names coming
Right Arrow Report on ONGC-Reliance gas dispute by June: Petroleum Minister Dharmendra Pradhan
Microsoft's first Lumia phone without Nokia branding in India in Bengaluru
Microsoft's first Lumia phone without No
Nokia launches new smartphone in New Delhi
Nokia launches new smartphone in New Del
Alibaba founder at Zhejiang China-India business cooperation conference
Alibaba founder at Zhejiang China-India
President and CEO of Automobili Lamborghini Stephan Winkelmann during the inauguration of the company`s showroom, in Bengaluru
President and CEO of Automobili Lamborgh
This page was created in 0.260522127151 seconds