Hikma Pharmaceuticals decides not to sell Injectables business
FTSE 250-listed company Hikma Pharmaceuticals has announced that following the conclusion of its strategic review of its global Injectables business, it has decided that the business should remain part of the Hikma Group.
FTSE 250-listed company Hikma Pharmaceuticals has announced that following the conclusion of its strategic review of its global Injectables business, it has decided that the business should remain part of the Hikma Group.
The reason behind the decision is that it sees the business as holding a unique position from which to create 'significant further value' by leveraging its manufacturing facilities, product portfolio, R&D pipeline and global distribution platform.
The group also said it has seen 'significant' interest in the business from third parties, which it believes demonstrates both the attractiveness and and strength of the business.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
![https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg](https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748-320-80.jpg)
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Injectables is currently performing 'very well', and the board is confident it can execute its growth strategy.
Said Darwazah, the Chief Executive Officer of Hikma, said: "After a thorough review of strategic options for the Injectables business, we are confident that retaining and continuing to invest in this business is the best option for shareholders. Injectables offers excellent long-term growth prospects and will remain an integral part of our overall growth strategy.
"By retaining the business, we will also continue to benefit from our diversified business model, which combines our global Injectables business with our oral generic business in the US and our extensive presence and experience in the Middle East and North Africa."
The decision proved less than popular with the group's shareholders, with the share price declining 6.04% to 925.50p by 09:00 Wednesday.
NR
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
Regulator moves to protect access to cash amid branch closures and disappearing ATMs
News The Financial Conduct Authority has told banks to start assessing if local communities have adequate cash access from mid-September
By Marc Shoffman Published
-
VAT hike on private school fees could come earlier than previously expected
The government could start charging VAT on private school fees as soon as January 2025, according to the latest reports. What does it mean for parents?
By Katie Williams Published