Sandoz to Aquire GSK’s Cephalosporin Antibiotics
The generics maker will pay $350 million for the business on closing, expected in the second half of 2021, plus a further $150 million for agreed milestones. It will own rights to all three brands in all markets except Australia, China, Egypt, Germany, India, Japan, Pakistan and the US.
According to GSK, all of the affected products with combined sales of around $140 million in "relevant" markets last year are now off patent. After transferring production to Sandoz, planned for 2025, the UK pharma will shut down its cephalosporin manufacturing activity.
While no job cuts related to the transaction have been announced, the British pharma said all 170 roles in the Zinnat supply chain would be affected
In pursuit of a leaner structure, GSK is in the process of splitting into two separate units, with one focusing on over-the-counter products and the other on prescription drugs and vaccines. The company is currently partnered with France’s Sanofi on a delayed Covid-19 vaccine currently in Phase 2 clinical trials.
Author: Dede Williams, Freelance Journalist
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Sandoz, generics arm of Swiss drugmaker Novartis, is buying GlaxoSmithKline’s cephalosporin antibiotics business, including the brands Zinnat, Zinacef and Fortum, for up to $500 million including milestones. It is unclear if there will be job losses. All products are off-patent. (c) Pixabay
