Novartis to sell parts of Sandoz to India’s Aurobindo

Sept. 7, 2018

Novartis has announced that it will sell its Sandoz U.S. dermatology business and generic U.S. oral solids portfolio to India’s Aurobindo Pharma for up to $1 billion.

According to the drugmaker, this transaction supports the Sandoz strategy of focusing on complex generics, value-added medicines and biosimilars to achieve sustainable and profitable growth in the U.S. over the long-term.

The deal, which includes roughly 300 products, involves an initial $900 million cash payment that could be followed by $100 million in performance-based payments.

As part of the transaction, Aurobindo will acquire the manufacturing facilities in Wilson, North Carolina, as well as Hicksville and Melville, New York.

The transaction — the largest outbound pharma deal by an Indian company — will push Aurobindo into the second position in the dermatological drugs segment as well as make it the second-largest generics company in the U.S. by prescriptions, claims the company.

Read the press release