St. Louis, MO, May 24, 2006--Solutia Inc., today announced that its subsidiary, Solutia Europe SA/NV, has reached a definitive agreement to sell its Pharmaceutical Services business.
Solution Europe is comprised of CarboGen AG and AMCIS AG. Under the terms of the agreement, Dishman Pharmaceuticals & Chemicals Ltd. will purchase 100 percent of the stock of CarboGen and AMCIS, as well as certain other assets used in the Pharmaceutical Services business, for $74.5 million, subject to working capital adjustment.
This transaction is subject to removal of the restrictions related to the sale under SESA's Euronotes, authorization by the bankruptcy court overseeing Solutia's reorganization, and government and regulatory approvals, which are expected by August 31, 2006.
CarboGen and AMCIS provide drug development and commercialization services for pharmaceutical and biotechnology companies. During the year 2005, the business had sales of approximately CHF 80 million. The pharmaceutical services business has research and development facilities at three sites in Switzerland: Aarau, Bubendorf, and Neuland. All intellectual property, patents and trademarks, customer contracts, as well as employees of the pharmaceutical services business are included in the transaction.
Dishman Pharmaceuticals & Chemicals Ltd., is involved in the manufacture of APIs (active pharmaceutical ingredients), API intermediates, quaternary compounds and fine chemicals. Headquartered in Ahmedabad, India, Dishman exports to all continents--except Antarctica, of course.
