Valeant to Acquire Tecnofarma, A Mexican Gener...( ALISO VIEJO Calif. July 2...),Health

ALISO VIEJO, Calif., July 29 /PRNewswire-FirstCall/ -- Valeant Pharmaceuticals International (NYSE: VRX) announced that it has signed a definitive Sale and Purchase Agreement to acquire Tecnofarma S.A. de C.V., a privately held company located in Mexico for approximately one times sales. Tecnofarma is a producer of generic pharmaceuticals which has approximately $33 million in annual sales primarily to the government and private label markets - two segments that Valeant Mexico does not currently serve in any material way. In addition, Tecnofarma has a number of manufacturing sites including a new 160,000 sq. ft. manufacturing plant that will allow Valeant Latin America to reduce its dependence upon third party manufacturers. Finally, Tecnofarma has eighty registered products that can be introduced into the branded generic market in Mexico.

"The acquisition of Tecnofarma is consistent with our business plan strategy," stated J. Michael Pearson, chairman and chief executive officer. "The government and private label markets in Mexico are large and growing components of the overall pharmaceutical industry in the region and are complementary to Valeant Mexico's current market focus on the commercial branded generic market. Adding two well-established businesses to our current branded generic portfolio mix, a new pipeline of products for our branded generic business, as well as a manufacturing infrastructure capable of expanding to meet future demand, we believe we are well positioned to reach our growth objectives in Latin America."

About Valeant

Valeant Pharmaceuticals International (NYSE: VRX) is a multinational specialty pharmaceutical company that develops, manufactures and markets a broad range
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