Pfizer to sell UK manufacturing facility

Nicholas Piramal, an Indian pharmaceuticals company, has said it intends to buy Pfizer’s production facility in Morpeth, Northumberland, which employs 450 people.

Pfizer’s Morpeth site exports to over 100 countries and has produced a range of products for ulcer prevention, arthritis and pain control. Nicholas Piramal, which aspires to increase its national presence, intends to buy the Morpeth plan on an asset purchase agreement, which includes a supply agreement until 2011, property and on-site assets.

The company said it considers the acquisition as a “strategic entry” into Pfizer’s global sourcing network and is the next step in an expanding relationship between the two companies, which includes a research and development agreement to provide services for Pfizer’s animal health division.

Ajay Piramal, chairman of Nicholas Primal, commented: “This acquisition again demonstrates Nicholas Piramal’s commitment to provide an across-the-life-cycle and across-the-value-chain service to pharmaceutical companies.”

“We are proud to have the highly respected Morpeth team aboard. Morpeth has a long tradition of excellence in manufacturing and supply chain. We believe we have an exciting future before us, with Morpeth playing a key role in Nicholas Piramal’s global custom manufacturing organisation network,” he added.

This is the third UK acquisition from Nicholas Piramal after it bought Avecia’s custom manufacturing business in December 2005 and Rhodia’s inhalation anaesthetics division in December 2004.

AstraZeneca has a licensing agreement with the Indian company to export its Tetmosol antiscabies soap in some countries. Nicholas Piramal states that one of its ambitions is to move away from licensing to launching its own patented products globally.

© Adfero Ltd