Herbert Smith Freehills has advised Strides Arcolab Limited (SAL), an Indian pharmaceutical company listed on the Bombay Stock Exchange and the National Stock Exchange of India on the US$1.6 billion (cash) disposal, by way of auction, of Agila Specialities its generic specialty injectable business to Mylan Inc., a US generic pharmaceutical company listed on NASDAQ.
The transaction was announced on 27 February 2013 and follows our role in January 2012 advising SAL on the sale of its 94% shareholding in Ascent Pharmahealth Limited, its pharma generics and sales and distribution business in Australia and Southeast Asia, to Watson Pharmaceuticals, Inc., the fifth largest pharmaceuticals company in the USA.
The consideration for the transaction is up to US$1.85 billion with US$250m being potentially payable as additional consideration subject to the satisfaction of certain conditions. Strides will continue to operate and develop its Pharma business and front-end businesses in India and Africa and will also focus on developing a fully integrated Biotech business which will be fully funded post this transaction.
The Herbert Smith Freehills team was led by London Corporate partners Alan Montgomery and Robert Moore, with specialist advice from partners Isaac Zailer on Tax issues and Andre Pretrious on Competition issues and Herbert Smith Freehills IT, IP, Environment and Arbitration practices.
Alan Montgomery comments:
“The sale of Agila Specialities by Strides Arcolab is major cross-border, India-to-US M&A deal for the London office and we are delighted to have advised SAL on this transaction. The combination of our leading M&A capability, India knowledge and cross-practice expertise enabled us, together with Strides in-house team, to deliver a milestone deal for the client.”
DSK (India), Haynes Boone (US), Pinnheiro Neto (Brazil), Wardynski & Partners (Poland) acted as overseas counsel for Strides Arcolab.
Skadden Arps Slate Meagher & Flom, Slaughter and May, Platinum Partners advised Mylan.
