Sun Pharma divests two US-based manufacturing units to Frontida BioPharm
The US-based firm has also agreed to offer employment to all production, quality and administrative personnel at the sites.
Drug major Sun Pharmaceutical Industries has sold two of its US-based manufacturing facilities along with 15 products to Frontida BioPharm Inc for an undisclosed amount.
As part of its manufacturing consolidation in the US, one of the company's wholly-owned subsidiaries entered into an agreement with Frontida BioPharm Inc for divestment of two oral solid dosage manufacturing facilities located at Philadelphia and Aurora, along with 15 related pharmaceutical products, Sun Pharma said in a regulatory filing on Saturday.
"In connection with the transaction, Frontida has agreed to continue manufacturing certain products for Sun Pharma at these facilities on a contract basis for a predetermined period," it added. The company however did not share financial details.
The US-based firm has also agreed to offer employment to all production, quality and administrative personnel at the sites. During the divestment process, Sun Pharma was cognizant about ensuring the continued supply of quality products to patients and protecting the interests of its employees working in these units, the Mumbai-based firm said.
"The impact of this development on Sun Pharma's consolidated financials and operations is not material," it added.