Inyx to buy Aventis' Puerto Rico unit

Inyx, a specialty US pharmaceutical firm with a focus on niche drug-delivery technologies and products, says that it has signed a definitive agreement with Aventis Pharmaceuticals, a part of the French Sanofi-Aventis group, to acquire certain assets and business of Aventis Pharmaceuticals Puerto Rico. The acquisition, which is subject to completion of a major contract transfer, is scheduled to close by March 31, 2005. Financial terms were not disclosed, but Inyx said it expected to be able to pay for the purchase through non-dilutive financing.

Jack Kachkar, chief executive of Inyx, said "this acquisition will be a 'transforming event' in Inyx' corporate development. It will be materially additive in terms of the assets and multi-year production contracts that we are acquiring, as well as the greatly-enhanced operating economies and new strategic business opportunities that we are gaining, which will enable our operation of this Puerto Rico complex to be profitable from the start and provide a strong catalyst for growing Inyx' consolidated revenues and earnings."

The Aventis operations in Manati, Puerto Rico, consist of a high-calibre pharmaceuticals production center that will provide Inyx with a strategic base in the USA to complement its present development and manufacturing facilities located in the UK. Moreover, this will provide Inyx with favorable tax incentives, including a corporate income tax rate of 2%-7% for 15 years in Puerto Rico, as well as 90% exemption on property tax, 60% exemption on excise tax and tax-free purchases on materials and equipment on the Island, the company notes.