Siegfried Successfully Completes Acquisition of Novartis Manufacturing Sites in Spain
Siegfried (SIX: SFZN) has completed the acquisition of two pharmaceutical manufacturing sites from Novartis in Spain. Thus, Siegfried`s activities in the field of Drug Products achieve the targeted critical size. Siegfried expects its total revenues to exceed 1 billion Swiss francs in 2021.
In September, Siegfried announced the intended acquisition of two pharmaceutical manufacturing sites from Novartis in the Barcelona region. Following the approval from all relevant authorities and with all additional closing conditions being met, the acquisition was completed on 4th January 2021 with effect as of 1st January 2021.
Dr. Wolfgang Wienand, Chief Executive Officer of Siegfried: "We welcome both sites and their employees as new members of the Siegfried family and look forward to the collaboration with Novartis. This acquisition significantly enhances our global drug product network in terms of capacity and technological capabilities. We will thus become an even more attractive partner for the pharmaceutical industry and create further potential for profitable growth.”
The two manufacturing sites in Barberà del Vallès and El Masnou are ideal complements to Siegfried’s existing activities in the field of drug products, in which Siegfried now achieves the targeted critical size. With the two new sites, Siegfried’s global network now consists of eleven sites on three continents with about 3’500 employees.
As part of the transaction, Novartis and Siegfried have entered into various agreements covering a close cooperation during the carve-out and post-merger integration phase and providing for multiyear supply and purchase commitments for the manufacturing and supply of important Novartis products, making Siegfried a significant strategic partner of Novartis with the status as a preferred supplier.
Siegfried intends to transform the formerly captive manufacturing sites into flexible and competitive customer-facing CDMO platforms offering their services to various customers worldwide. This transformation includes a review regarding operational efficiency as well as plans to invest into development capacity with the aim to create a technology center of excellence in the Barcelona region. Thus, Siegfried will be able to offer both, existing and new customers an even broader range of services and production capacities to take on new business.