Teva Contemplates Selling $2 Billion Active Ingredients Division
Teva Pharmaceuticals considers selling its $2 billion active pharmaceutical ingredients (API) unit as part of its "Pivot to Growth" strategy.
The company is reviewing options and gauging interest, with a decision yet to be made, reported Bloomberg on Jul. 5.
Teva's API unit produces over 400 APIs across 16 plants, serving 1,000+ customers and employing around 5,000 people. Teva spokesperson neither confirms nor denies the potential sale but highlights the unit's growth potential, said Bloomberg.
The move follows CEO Richard Francis' strategy focusing on commercial portfolio, biosimilars, generics, and targeted capital allocation. Teva aims to shift focus to high-value opportunities rather than its generics business. In 2022, Teva reported $14.9 billion in revenues, with generics sales declining to $8.6 billion across its three global regions ($9 billion in 2021). Q1 2023 sales for the company reached $3.7 billion, which is flat compared to last year.
