Pfizer ponders sale of Capsugel
pharmafile | October 7, 2010 | News story | Sales and Marketing |ย ย Capsugel, Pfizerย
Pfizer is reviewing options for its drug delivery systems business Capsugel, including a possible sale of the unit.
Pfizer has engaged Morgan Stanley to conduct the strategic review process, and expects to make an announcement regarding the results of this review process by the end of the first quarter of 2011.
Capsugel is a distinct business unit within Pfizer’s diversified businesses segment and is the world’s leading provider of hard capsules.
Cavan Redmond, senior VP and group president of Pfizer’s diversified businesses, said: โThe decision to consider strategic alternatives for Capsugel is part of Pfizer’s strategy to optimise its business mix and leverage its competitive strengths to deliver value for shareholders.
โAmong Pfizer’s robust and broad portfolio, Capsugel now represents a unique business, which we believe has strong potential for growth outside of Pfizer.
โThis, combined with Capsugel’s consistent performance as well as improved financial market conditions, make it a good time to undertake this review.โ
The Capsugel business unit generated Pfizer revenue of $740 million last year, but financially Pfizer remains under pressure due to impending generic competition for Lipitor and other brands.
Meanwhile, Pfizer has completed its acquisition of drug discovery and clinical development company FoldRx Pharmaceuticals, which will now operate as a wholly-owned subsidiary of the pharma company.
Ben Adams
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