Unichem to sell Madhya Pradesh formulation facility to Mylan for Rs160 crore
16 Feb 2013
Unichem Laboratories today said that it will sell a drug manufacturing plant in India to a unit of US-based Mylan Laboratories for Rs160 crore ($29.7 million).
Unichem will sell its new formulation manufacturing unit in Madhya Pradesh along with all assets on a slump sale basis to Mylan's Indian subsidiary Mylan Laboratories Ltd, the Mumbai-based company in a filing with the Bombay Stock Exchange.
The deal is subject to the execution of a definitive agreement between the two drugmakers and regulatory and shareholders approvals, Unichem said in the filing.
Pennsylvania-based Mylan is a generic and specialty pharmaceuticals company and has grown from being the third largest generic and pharmaceuticals company in the US to the third largest generic and specialty pharmaceuticals company in the world mainly due to strategic acquisitions.
It acquired a controlling stake in India's Matrix Laboratories, a leading producer of active pharmaceutical ingredients (APIs) for generic drugs and the generics business of Germany's Merck KGaA.
It has a portfolio of more than 1,100 generic pharmaceuticals and several brand medications.
Mylan Laboratories Ltd is one of the world's largest producers of API used to make generic antiretroviral (ARV) therapies for the treatment of HIV/AIDS.