Lantheus Holdings Inc. sells Puerto Rico operations for $18M
Lantheus Holdings Inc. announced the sale of its Puerto Rico radiopharmacy and positron emission tomography manufacturing facility in Ponce to PharmaLogic Holdings Corp. for $18 million in cash.
As part of the transaction, Lantheus and PharmaLogic will also enter into a long-term supply agreement under which Lantheus will continue to supply PharmaLogic with Lantheus’ products and PharmaLogic will commit to purchase certain products.
The transaction is subject to customary closing conditions and is expected to be completed early in the first quarter of 2021. The cash deal is subject to working capital and other customary adjustments. Proceeds from this transaction are intended to be used in the company’s core businesses and product pipeline, Lantheus said.
“This transaction extends our strategic relationship with PharmaLogic, the fundamental business of which is dedicated to nuclear medicine and radiopharmaceutical production, simplifies our distribution model in Puerto Rico, and allows us to use the proceeds from the transaction to invest in our core businesses and product pipeline,” said Lantheus CEO Mary Anne Heino.
“We look forward to working closely with PharmaLogic to close the transaction and execute a smooth transition for customers, patients, suppliers and employees,” she said.
The transaction includes both the Lantheus radiopharmacy operation — which prepares individual, patient-ready doses of radiopharmaceuticals — and the manufacturing business, which manufactures the drug product for individual, patient-ready doses of fluorodeoxygluocose.
The long-term supply agreement provides that Lantheus’ nuclear medicine products currently sold through the radiopharmacy will continue to be available in Puerto Rico.
“This transaction will further expand PharmaLogic’s geographical presence in North America,” said PharmaLogic CEO Steve Chilinski.
“We’re proud to be a customer-centric company committed to providing leading innovations and solutions to North American practitioners, and we are thrilled to partner with Lantheus to continue to provide their robust nuclear medicine portfolio to customers and patients in Puerto Rico,” he said.