Lactalis International, a French dairy group has agreed to purchase Aspen Pharmacare’s infant formula business for 739.8 million Euros. The deal will enable Aspen, a South African Pharmaceutical company, focus on its main pharmaceutical operations in Asia Pacific, Latin America, and Sub-Saharan Africa.
The baby formula business unit known as Global Nutritionals, contributed 3.09 billion rand to revenue and 512 million rand in the year to end-June. Aspen, which sells hormones, anaesthetics, and anti retroviral medicines in more than 150 countries, considered selling the infant formula unit in 2017.
Aspen Pharmacare used its baby formula unit to penetrate the Chinese market. The company gained approval to sell its Alula formula products in China.
In a statement, Aspen noted that full year earnings excluding one time items rose by 10 percent to 16.05 rand per share.