Legal action against STADA’s Serbian subsidiary has been resolved

The insolvency administrator of Velefarm Holding as well as Velefarm VFB and the Serbian Hemofarm A.D., a subsidiary of STADA Arzneimittel AG,  on December 18, 2015 agreed on the resolution of a legal dispute. 

The settlement relates to the legal action taken by the insolvency administrator against Hemofarm, among others, in Belgrade’s commercial court in February 2014. At that time, the insolvency administrator had demanded that certain agreements and statements from the years 2010 and 2011 that had been reached between Hemofarm and companies of the Serbian wholesale group Velefarm with regard to the insolvent assets of Velefarm Holding and Velefarm VFB be declared invalid and, as a result, repayments to the insolvent assets be made.

 

Within the scope of the settlement, the insolvency administrator waives his original claim in the amount of Euro 54.2 million (in local currency) which he had filed in court. In return, Hemofarm waives most of a claim in the single-digit million euro range which was already fully impaired by STADA in 2010.

STADA signs contract to purchase Vannier

STADA Arzneimittel AG and STADA subsidiary BEPHA Beteiligungsgesellschaft für Pharmawerte mbH signed a contract to purchase the Argentinian generics producer Laboratorio Vannier S.A.

The purchase price, which includes a small performance-related component, amounts to a maximum of US dollar 13.0 million in cash. The seller is a private individual. Vannier, whose headquarters is in Buenos Aires, was founded in 1992 and in financial year September 2014 to August 2015 achieved sales of 72.0 million Argentinean pesos (approximately Euro 7.0 million), which represents growth of 43 percent from the previous year in the local Argentinean currency. The company’s production is certified in accordance with the local GMP standard and it currently has 88 employees. Vannier’s sales activities are focused on niches which are subject to few price regulations, particularly on conditions of the central nervous system (CNS) , cardiology and diabetes.

The acquisition is expected to be concluded at the beginning of January 2016. The consolidation of sales is envisaged from January 1, 2016. Payment of the purchase price will be made at the time of completion of the acquisition. For the financing, STADA will use cash on hand and existing free credit lines. It is expected that the acquisition will contribute to net income from the time of consolidation.