Alvogen's private equity owners including CVC Capital Partners are exploring options for the generic pharmaceutical company, which could be valued at about $4 billion, Bloomberg reported, citing people familiar with the matter.
As per the report, the drugmaker's controlling shareholders, including Singapore state investment company Temasek Holdings Pte, have held on-and-off talks with Shanghai Pharmaceuticals Holding Co. focusing on a sale of Alvogen's U.S. business, which is its biggest market.
In the U.S., Alvogen sells generic pharmaceuticals and provides third-party services such as contract manufacturing and clinical research. It operates a manufacturing facility in Norwich, New York under the Norwich Pharmaceuticals brand.
Alvogen is expected to keep its operations in Asia as well as central and eastern Europe. Part of its Asian operations are listed as Seoul-traded Alvogen Korea Co./
Alvogen's owners reportedly are not running a formal auction process, instead may look to hold discussions with other international buyers.
Deliberations are at an early stage, and there's no certainty they will lead to a transaction.
The consortium including CVC and Temasek Holdings bought a controlling stake in Alvogen in 2015 for about $2 billion.
Shanghai Pharma, which failed in its efforts to buy German generic drugmaker Stada Arzneimittel AG, is currently bidding for a stake in Arbor Pharmaceuticals LLC as well as Cardinal Health Inc.'s Chinese distribution business, the report noted.
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