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Pharma & Biotech

Hikma Pharma buys Xellia assets for US$135m

Hikma Pharmaceuticals PLC (LSE:HIK, OTC:HKMPF) has bought a raft of US injectable or finished dosage form (FDF) assets from Copenhagen-based Xellia Pharmaceuticals for US$135 million cash and US$50 million in potential milestones.

A commercial portfolio and pipeline of differentiated products, a manufacturing facility in Cleveland, Ohio, sales and marketing capabilities and an R&D centre in Zagreb, Croatia are among the assets being acquired.

Hikma said the deal adds a range of ready-to-use (RTU) products, including Vanco Ready, the anti-infective vancomycin launched in 2019, boosts its production capacity and adds a complex manufacturing technology skillset.

On completion, the Xellia assets will add US$75 million to revenues and be accretive to earnings after the first year.

Riad Mishlawi, Hikma’s chief executive, added: "Hikma has grown to become a top-three US supplier of sterile injectable medicines thanks to our strong record of successfully making value-enhancing acquisitions like this one.

“This acquisition will add significant scale to our US operations and will enhance our US injectable manufacturing capabilities and portfolio by adding complex technologies.”

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