The acquisition includes Orchid’s beta-lactam antibiotic formulations manufacturing complex (comprising cephalosporin, penicillin and carbapenem facilities) and pharmaceutical research and development (R&D) facility at Irungattukottai, Chennai, as well as its generic injectable dosage-form product portfolio and pipeline.
In addition, the companies have signed a long-term agreement for Orchid to supply active pharmaceutical ingredients (APIs) for the acquired generic injectable pharmaceuticals business.
Hospira and Orchid are committed to support the various alliances and distribution arrangements of the acquired business. To help facilitate the transition process, the two companies have entered into transitional services agreements for approximately 15 months.
Terry Kearney, chief operating officer of Hospira, said: “We are excited to acquire new capabilities that will create opportunities for commercial growth, position us strongly in a key antibiotics product area, expand our global footprint and enhance our ability to provide lower-cost, high-quality products to patients.
“We’re also excited to welcome a talented base of 450 employees, including newly appointed managing director, Hospira India, Dr CB Rao, who joins us with a wealth of diversified industrial and management experience, and will provide continuity of leadership for the Orchid team joining Hospira.”
Dr CB Rao said: “Integration of Orchid’s injectables formulations business with Hospira, the global leader in generic injectables, represents a strong strategic fit. Our team is committed to leveraging our world-class infrastructure, high-technology product range and organizational competencies to drive even greater business growth and strengthen Hospira’s leadership position.”