Halo Pharmaceutical has closed a deal to buy Teva Pharmaceutical Industries' ($TEVA) Mirabel plant in Montreal, signing on to keep producing some of Teva's drugs.
The companies didn't disclose the terms of the agreement, but Halo CEO Clive Bennett said the acquisition is strategically important for the company, giving it access to new dosage forms and a pathway for exports to the European Union. "We look forward to building our pharmaceutical development business in Mirabel, and to expanding the amount of commercial manufacturing conducted at the site," he said in a statement.
Halo will retain 152 of the plant's employees under the terms of a 5-year manufacturing contract with Teva. Barry Fishman, Teva Canada's CEO, said the CMO deal will help Teva maintain production and sales in Canada while keeping the plant open.
Teva picked up the Mirabel facility through its 2010 buyout of Ratiopharm, and the company announced last year that it would put the plant up for sale and, if it found no takers, shutter the facility in March. Halo's intervention preserves the jobs at the plant and, considering the circumstances, the CDMO might have snagged it at a good price.
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