Sanofi-Aventis pays $544 mln for Primary Health unit
French drug maker Sanofi-Aventis has agreed to pay $560 million Australian dollars ($544 million) to Primary Health Care Ltd for Australia's largest distributor of vitamin supplements.
“The sale of the consumer business will allow Primary to continue its focus on operating its core businesses and progress with the integration of the Symbion business acquired in February,” Primary Managing Director Edmund Bateman said.
The Australian Financial Review newspaper said on Monday that Sanofi-Aventis beat German drug maker Merck KGaA for the unit, which has assets including dietary supplement brands Bio-Organics, Cenovis, Nature's Own and Betadine.
Primary is accepting separate bids for its pharmacy business until Tuesday, which is expected to reap it more than A$500 million.
An industry source told Reuters last week that Swiss-based Zuellig Pharma, an Asia-focused healthcare distributor, was among the potential bidders for the business.
Another consortium is also expected to make a bid, a source close to the deal who did not want to be identified said on Monday.
“Primary continues to assess a number of options in relation to Symbion Pharmacy with a view of optimizing value,” Bateman said.
Grocery wholesaler Metcash Ltd dropped out of the bidding last week. Metcash had originally formed a joint venture bid with Sigma Pharmaceuticals Ltd, with Sigma chasing the consumer unit. (Reuters)
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.