Pharma major Sanofi India has decided to sell its facility in Ankleshwar, Gujarat, to Zentiva India.
The Board of Directors of Sanofi India Ltd (SIL) has approved a transaction for the slump sale and transfer of its manufacturing facility at Ankleshwar, Gujarat to Zentiva and its legal entity in India, Zentiva Private Ltd for ₹2,61.7 crore, a company statement said.
The transaction is subject to customary working capital adjustments.
It is subject to shareholders’ approval and the completion of certain conditions as defined under the Business Transfer Agreement. Sanofi said.
In 2018, Zentiva, which was Sanofi’s European generics business, was sold to Advent International as part of a global transaction.
“Sanofi’s long-term strategy is to focus on manufacturing Sanofi branded products. Given that the two companies share similar values and commitment towards serving patients and their employees, the Board of Directors of Sanofi India approved this transaction in the long-term interest of all stakeholders.” said Rajaram Narayanan, Managing Director, Sanofi India Ltd.
The Ankleshwar site is Sanofi’s oldest manufacturing facility in India where brands such as Combiflam, Allegra and Amaryl are made.
The production of these brands will now be moved to Sanofi’s Goa facility and external manufacturing sites as well.
The Ankleshwar facility was established in 1987 and this site manufactures more than six billion tablets per annum.
The site has a chemistry and biotechnology development centre, and manufactures both intermediates and pharmaceutical formulations.
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