Meda divests manufacturing unit Euromed in Spain
In addition to the Legalon API, Euromed currently supplies high quality products to over 350 customers worldwide accounting for around 70% of its sales.
Meda has entered into a definitive agreement with The Riverside Company for the sale of Euromed SA, a business-to-business manufacturer of herbal extracts and natural active substances located in Spain. The total consideration is EUR 82 million in upfront cash for the shares of Euromed. The unit generates sales of around EUR 40 million and an EBITDA margin of around 20% on an annual basis.
Euromed is a legacy Rottapharm subsidiary, now part of Meda, and has historically been the supplier of the key Legalon API. Meda and Riverside have entered into a favorable long-term strategic supply arrangement with fixed prices for a considerable time. In addition to the Legalon API, Euromed currently supplies high quality products to over 350 customers worldwide accounting for around 70% of its sales.
“The divestment of Euromed is in line with our stated strategy to focus on Meda’s core business of selling and marketing Rx and Cx/OTC products in key markets. The transaction will enhance Meda’s cash flow profile but also positively impact profitability,” said Dr Jörg-Thomas Dierks, Group President and CEO of Meda. “Furthermore we secure a long-term supplier for the API of our key product, Legalon.”
The disposal of Euromed must be reported to the competition authorities in Germany. Competition filings will be initiated within days and the transaction is expected to complete in Q1 2016 following such clearances.
Closing of the transaction is not subject to any other material conditions.
Related News
-
News Pharmaceutical Supply Chain People Moves
The latest appointments, promotions, and structural changes across the pharmaceutical supply chain.
-
News Merck KGaA to buy US biotech SpringWorks for US$3.9 billion
The German multinational pharmaceutical company Merck KGaA have signed a deal to buy US biotech company SpringWorks Therapeutics at an equity value of US$3.9 billion in a move to add rare cancer therapeutics to their pipelines.
-
News Cassava Sciences halts Alzheimer's drug trial after limited progress
Cassava Sciences have drawn a close to their investigations and development of the drug simufilam, which they intended to be used for the treatment of Alzheimer’s disease.
-
News US FDA adds haemodialysis bloodlines to devices shortage list
On March 14, 2025, the US FDA published an open letter to healthcare providers citing continuing supply disruptions of haemodialysis bloodlines, an essential component of dialysis machines.
-
News Vertex Pharmaceuticals stock jumps as FDA approves non-opioid painkiller
UK-based Vertex Pharmaceuticals saw their stock shares soar as the US FDA signed off on the non-opioid painkiller Journavx, also known as suzetrigine, for patients with moderate to severe acute pain, caused by surgery, accidents, or injuries.
-
News Lessons from CPHI Milan 2024: Sunny Intervals for Pharma Manufacturing?
As the 2024 CPHI conference wrapped up in Milan, we caught up with L.E.K. Consulting – a global strategy consulting firm with deep expertise in pharma manufacturing – to discuss evolving market perspectives and business outlook. -
News US BIOSECURE Act passed by US House of Representatives
The controversial act, which has already impacted several foreign companies operating in the US, was passed by the House of Representatives on September 9, 2024. It is now headed for the US Senate before it can be signed into law by President Joe Biden... -
News Drug prices agreed upon as part of the US Inflation Reduction Act
The Inflation Reduction Act brought into constitution by the Biden administation in 2022, which proposed a drug price negotiation between the government and pharmaceutical companies, has reached it's first agreement.