MOSCOW (MRC) -- BASF plans to focus its pharmaceutical ingredients & services business within the Nutrition & Health division on its core expertise in pharmaceutical excipients, said the company.
To implement this decision, BASF intends to divest its custom synthesis business and parts of its current active pharmaceutical ingredients (APIs) business to Siegfried Holding AG. These include APIs such as ephedrine, pseudoephedrine and caffeine. BASF’s leading excipient portfolio and selected APIs, such as ibuprofen, omega-3 fatty acids and polyethylenglycol (PEG), where the company has a leading market position, will remain part of BASF’s portfolio.
The intended divestiture is still subject to the successful completion of processes required by applicable law, including consultations with employee representations and the approval of the competent merger control authorities.
The transaction comprises the divestment of BASF’s production sites in Minden, Germany; Evionnaz, Switzerland; and Saint-Vulbas, France. The enterprise value is approximately EUR270 million. About 850 positions globally are in the scope of the transaction. BASF and Siegfried intend to transfer all affected employees to the acquiring company.
As MRC informed earlier, BASF inaugurated its new Ultramid (polyamide 6 and 6/6.6) polymerization plant at the Shanghai Chemical Industry Park in Shanghai, China.
BASF is a leading solution provider and innovator in excipients for the pharmaceutical industry. BASF’s key objective is that customers continue to receive the high quality and reliable supply of products in the transition phase to Siegfried. Therefore, BASF is rendering transitional services to ensure a smooth and seamless business transfer for both customers and employees.
BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. BASF’s first-quarter net income dropped by 20% to EUR1.17bn.