Sandoz have entered into a binding agreement for the acquisition of the Japanese business of Aspen Global Incorporated, a subsidiary of Aspen Pharmacare Holdings Limited. The acquisition consists of shares in Aspen Japan K.K. and associated assets held by AGI. On closing Sandoz will pay an initial cash consideration of €300 million. Sandoz has also agreed, upon certain conditions being fulfilled after closing, to pay certain deferred consideration to AGI. It is currently anticipated that the amount of deferred consideration to be paid will not exceed €100 million.
According to the Novartis subsidiary, the acquisition will enable it to expand its presence in the Japanese generics marketplace.
Aspen’s portfolio in Japan consists of off-patent medicines with a focus on anesthetics and specialty brands. AGI has also entered into a five year manufacturing and supply agreement (with an additional two year extension option) with Sandoz, which will take effect from completion of the transaction, for the supply of active pharmaceutical ingredients, semi-finished and finished goods related to the portfolio of divested brands.
Read the full Sandoz release