LEO Pharma sells portfolio of four products to Cheplapharm

BALLERUP, Denmark, August 31 – Today, LEO Pharma A/S announced the sale of a portfolio of four non-core products to Cheplapharm for EUR 300 million. The agreement represents a milestone in the roll-out of LEO Pharma’s 2030 strategy which increases the company’s focus on new innovative solutions for medical dermatology.

The divested portfolio comprises four products within bone disorders/nephrology, dermatology and gynecology: One-Alpha©, Locoid©, Pimafucin©, and Zineryt©. The annual turnover of the portfolio in 2019 amounted to approximately EUR 110 million.

“The divestment is an important step to strategically aligning our portfolio and increasing our focus on innovation in medical dermatology. Patients will be well served by Cheplapharm and we are confident that the company will be the right owner for this portfolio of well-established brands going forward,” said Catherine Mazzacco, President and CEO of LEO Pharma.

“We are delighted to seize this unique opportunity to acquire a sizeable portfolio of mature and well-known branded pharmaceuticals from LEO Pharma. The products make a great fit with our existing portfolio in a number of therapeutic areas, and not least, they are characterized by a strong brand legacy, on which we are looking forward to building and expanding our portfolio further,” said Sebastian F. Braun, CEO of Cheplapharm.

The transaction is expected to close by December 2020, subject to satisfaction of customary closing conditions, including receipt of regulatory approvals. Following the closing, LEO Pharma and Cheplapharm will work closely together to ensure a smooth and effective transition of the products and business.