Yule Catto sells pharma division to Vivimed
Yule Catto, the Essex headquartered polymer business, has sold its pharmaceuticals division, Uquifa, to the Indian firm Vivimed Labs.
Yule Catto, the Essex headquartered polymer business, has sold its pharmaceuticals division, Uquifa, to the Indian firm Vivimed Labs.
Yule will receive £35m for Urquifa, the company which makes active pharmaceutical ingredients for the wider pharma industry. It operates three manufacturing sites, two in Spain and one in Mexico, employing a total of 390 people.
Vivimed will pay £28.6m in cash, with a further £6.4m to be paid in three years time. The proceeds will be used to pay down Yule's debt.
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
Commenting on the disposal, Yule Catto's chief executive Adrian Whitfield said:
"I am delighted to be able to announce this disposal. Following the PolymerLatex acquisition we completed earlier this year, this marks the final step in a long process of transforming Yule Catto into a substantial highly focussed Specialty Polymer business."
Today's announcement indicated the deal would be slightly dilutive to Yule's earnings, but its shares were down 0.18% in early trading. Over the year to date Yule Catto has fallen 16%.
BS
Sign up for MoneyWeek's newsletters
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
-
Landlords ordered to make rental properties more energy efficient by 2030
The government has said rental properties must have a minimum EPC rating of C by 2030. We explain how much it will cost landlords to upgrade their buy-to-let portfolio
By Marc Shoffman Published
-
Primark owner Associated British Foods is an overlooked gem going cheap — should you buy shares?
Associated British Foods, the owner of Primark, is a family-owned business, which means it is passed over by the increasingly popular passive investment funds. That spells opportunity for private investors, says Jamie Ward.
By Jamie Ward Published