Upsher-Smith parent Sawai inks deal with Sumitomo
Upsher-Smith parent Sawai
MAPLE GROVE, Minn. — Sawai Pharmaceuticals, the parent company of Upsher-Smith Laboratories, has announced a new strategic alliance with Japanese trading house Sumitomo. The alliance will see Sawai sell a 20% stake in its American subsidiary to Sumitomo’s U.S. arm for $211 million.
“Sumitomo's investment in our U.S. subsidiary and its management participation in Upsher-Smith will allow us to benefit from its experience, knowledge and network in the global business arena in areas such as sourcing of active pharmaceutical ingredients and product introduction,” Sawai president Mitsuo Sawai said. “By leveraging the unique strengths of the three companies, namely Sawai, Upsher-Smith and Sumitomo Corporation, we will continue to enhance our global presence, including the U.S. business, to accelerate growth with the goal of becoming ‘a globally recognized generics company.’”
Upsher-Smith said Sumitomo is known for its abilities to expedite ideas and distribute products through a global network of offices. Core business units of Sumitomo include tubular products, environment and infrastructure, steel and non-ferrous metals, transportation and construction systems and several others.
“We are excited by the potential of this partnership and look forward to increasing our capacity for acquisition and discovering broader strategic growth opportunities,” Upsher-Smith president and CEO Rusty Field said.
The sale is expected to close by the end of March 2018.