Pharmaceuticals Business Sold in £600M Deal with Castleford based Business
Thu 06 Oct 2016
The UK and Ireland generics business of pharmaceutical company Actavis has been sold in a £600m deal by Teva Pharmaceutical Industries.
Intas Pharmaceuticals, through its wholly owned subsidiary Accord Healthcare, has entered into definitive agreements to acquire Actavis UK and Actavis Ireland from Teva Pharmaceutical Industries.
The UK and Ireland business supplies generic products to both pharmacies and wholesalers with a workforce of more than 600 staff. It generated sale of more than £250m in 2015.
The company has a manufacturing site in Barnstaple, Devon, which provides services both to Actavis UK and Ireland, as well as other third parties, and manufactures about five billion tablets per year. Its Irish operation is based in Cork.
The transaction is part of the European Commission's anti-trust divestiture requirements arising from Teva's acquisition of Actavis Generics earlier this year.
Teva, an Israeli business which has its UK headquarters in Castleford, acquired the Actavis Global Generics business in £30bn deal from Dublin headquartered pharmaceutical group Allergan in July 2016.
As part of the deal, Teva was instructed by the European Commission to divest a "viable standalone business operation based around Actavis' assets".
Binish Chudgar, vice chairman and managing director of Intas, said:
"This transaction represents a unique opportunity for Intas to build scale in the UK & Ireland - adding to our market leading hospital franchise - and creates a strong platform for further European expansion.
"Through our subsidiary, Accord Healthcare, we have been operating successfully in Europe for more than a decade and this acquisition will make Accord a leading generics player in the UK market.
"We have a clear plan for the continuation and development of the Barnstaple site and the Actavis UK and Ireland team; we look forward to welcoming them to the Intas Group."
India-headquartered Intas employs 12,000 staff globally, including more than 400 in Europe, and has ten manufacturing facilities worldwide.
Moelis and Company and Rothschild & Co acted as financial advisers, and Linklaters acted as legal advisor, to Intas and Accord.
Oringal story by Stephen Farrell , Insider media