Strides to acquire Aspen's drug assets for A$380 million
Bangalore-based firm Strides Arcolab informed that two of its subsidiaries Strides Pharma Global Pte. Ltd, Singapore and Strides (Australia) Pharma Pty Ltd, Australia have entered into definitive agreements with Aspen Pharmacare Holdings Limited to acquire a generic pharmaceutical business in Australia together with certain branded pharmaceutical assets for $380 million (Australian dollars) approximately.
The acquired products have sales of approximately $120 million in the past financial year (to June 2014) with an EBITDA margin of approximately 31 per cent.
The acquisition includes major product launches in the next six months and access to the product pipeline which is under development by Aspen.
The transaction is expected to complete by the end of second quarter next year and is financed by combination of debt financing and internal accruals and will be EPS accretive immediately.
This is subject to certain regulatory approvals and customary closing conditions.