Shenzhen Hepalink Pharmaceutical Co., Ltd. has entered into a stock purchase agreement to acquire Scientific Protein Laboratories, LLC. (SPL), a leading global, independent manufacturer and supplier of active pharmaceutical ingredients (APIs). With the acquisition, Hepalink will expand its presence as one of the leading suppliers of heparin worldwide, while providing the combined company with greater product development and growth opportunities in new markets for its full line of APIs, including pancreatic enzyme and heparin products. This acquisition allows for greater investment in R&D, new products and processes, and will form a stronger company with enhanced cutting-edge R&D capabilities in the global heparin API sector.
Under the terms of the agreement, Hepalink has agreed to acquire SPL for US$337.5 million in cash plus certain contingent payments.
"This represents an exciting opportunity for both companies and all of their employees in an increasingly global industry," said Mr. Li Li, Chairman and Chief Executive Officer of Hepalink. "After the acquisition, Hepalink will be able to further enhance the stability and safety of the supply of the heparin product raw materials, strengthen Hepalink's globally leading advantages in technology, processing techniques, quality and safety standards, and form a global heparin API manufacturing, R&D and distribution network for Hepalink. The transaction will open new markets for API products and allow for greater investment in R&D, new products and processes. Operating at the high level of U.S. and international safety standards, the combined company will continue its absolute commitment to global best practices in product safety and quality as a trusted supplier of ingredients for critical medicines."
"We are excited about this transaction and what it means for Scientific Protein Laboratories," said Mr. Robert Mills, Chief Executive Officer of SPL. "This will expand our ability to develop and grow both our domestic and international businesses and to continue to conduct cutting-edge research on new products. We do not anticipate any changes in how we currently do business. We will become part of a very successful company that shares our commitment to safety and quality."
When the transaction is completed, SPL's management will remain in place, as will its 204 employees in the United States. SPL's principal facility is in Waunakee, Wisconsin.
Headquartered in Shenzhen, China, Hepalink is one of the world's largest suppliers of processed heparin. Hepalink has a long and consistent track record of adhering to the high level of U.S. standards and passing U.S. Food and Drug Administration inspections. It is also one of the select companies which have been approved to participate in the U.S. Pharmacopeial Convention's Pharmaceutical Ingredient Verification Program, which includes rigorous testing, verification and certification of products intended for export to the United States.
Source: Business Wire
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