Drug-maker Pfizer Ltd has divested its rights and interests in two “tail brands” Amisant and Nebasulf for ₹30 crore. The divestment was to Abbott, Pfizer said, of the transaction that took place in November 2018.
“This divestment was only a brand sale and hence had no impact either on the employees or the plants manufacturing these brands,” a company spokesperson told BusinessLine . Amisant is an anti-psychotic medicine, while Nebasulf is an anti-infective.
While the rationale behind exiting the brands was not explained, an industry-hand pointed out that companies exit “tail brands” as they may not be priority areas. The decision, though, may not have links to the global changes taking place with Pfizer’s parent company, the industry representative added.
Global changes
Pfizer has been in the news recently in India over that parent company’s decision to shut down two of its plants at Aurangabad (Maharashtra) and Irungattukottai (Tamil Nadu).
The decision to cease manufacturing immediately with the aim of exiting both sites this year will impact 1,700 people, the company had earlier said. “We are committed to ensure a fair and transparent process for our colleagues and have offered an attractive financial support scheme, the payouts under which are significantly higher than the statutory requirements,” a spokesperson for Pfizer Inc said, without giving details.
Even as this process is under way, an earlier sale of a Pfizer plant still has some ends to be tied-up. In 2015, Pfizer had sold its vintage Thane plant to Vidhi Research and Development for ₹178 crore.
On another international track, Pfizer had also agreed to create a global consumer healthcare company with GlaxoSmithKline, following the latter’s global decision in December 2018 to separate its pharma business from consumer healthcare. But Pfizer’s latest exit in India from two brands was not a fall-out of this decision, the industry representative clarified.
Q3 numbers up
Pfizer in India closed the three month period ended December 31, 2018 clocking revenues at ₹513.8 crore as compared to ₹456.5 crore in the same period last year. Its net profit after tax (including other comprehensive income) for the quarter stood at ₹132.5 crore (₹87 crore).