ALISO VIEJO, Calif., July 29 /PRNewswire-FirstCall/ -- Valeant Pharmaceuticals International (NYSE: VRX) announced that it has signed a definitive Sale and Purchase Agreement to acquire Tecnofarma S.A. de C.V., a privately held company located in Mexico for approximately one times sales. Tecnofarma is a producer of generic pharmaceuticals which has approximately $33 million in annual sales primarily to the government and private label markets - two segments that Valeant Mexico does not currently serve in any material way. In addition, Tecnofarma has a number of manufacturing sites including a new 160,000 sq. ft. manufacturing plant that will allow Valeant Latin America to reduce its dependence upon third party manufacturers. Finally, Tecnofarma has eighty registered products that can be introduced into the branded generic market in Mexico.
"The acquisition of Tecnofarma is consistent with our business plan strategy," stated J. Michael Pearson, chairman and chief executive officer. "The government and private label markets in Mexico are large and growing components of the overall pharmaceutical industry in the region and are complementary to Valeant Mexico's current market focus on the commercial branded generic market. Adding two well-established businesses to our current branded generic portfolio mix, a new pipeline of products for our branded generic business, as well as a manufacturing infrastructure capable of expanding to meet future demand, we believe we are well positioned to reach our growth objectives in Latin America."
Valeant Pharmaceuticals International (NYSE:VRX) is a multinational specialty pharmaceutical company that develops, manufactures and markets a broad range of pharmaceutical products primarily in the areas of neurology and dermatology. More information about Valeant can be found at www.valeant.com.
This press release may contain forward-looking statements, including, but not limited to, statements regarding the future growth in Valeant's operations in Mexico and/or Latin America and the impact of the Tecnofarma acquisition on Valeant's operations in Mexico and/or Latin America. Forward-looking statements may be identified by the use of the words "anticipates," "expects," "intends," "plans," "should," "could," "would," "may," "will," "believes," "estimates," "potential," or "continue" and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties discussed in the company's most recent annual or quarterly report filed with the Securities and Exchange Commission, which factors are incorporated herein by reference. Readers are cautioned not to place undue reliance on any of these forward-looking statements. Valeant undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect actual outcomes.
Laurie W. Little
SOURCE Valeant Pharmaceuticals International
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