Aurobindo Pharma USA to acquire section of Sandoz US portfolio from Novartis
7 September 2018 -

Aurobindo Pharma USA, a company that manufactures generic pharmaceutical drugs, has agreed to acquire sections of the Sandoz US portfolio from Switzerland-based Novartis, it was reported yesterday.

The deal is valued at USD900m in cash and USD100m in potential earn-outs. It is likely to be completed during 2019, subject to customary closing conditions.

Accord the agreement, Aurobindo will purchase the Sandoz US dermatology business and generic US oral solids portfolio. Under the deal, Aurobindo will acquire manufacturing facilities in Wilson of North Carolina, in addition to Hicksville and Melville of New York. The divested business had net sales of USD600m in the first half of 2018.

Around 750 employees from the acquired facilities and field representatives from the PharmaDerm branded dermatology business are expected to move to Aurobindo following the deal.