An Indian pharmaceutical company has purchased allergy product manufacturer HollisterStier Laboratories LLC, officials from both companies announced.
India's Jubilant Organosys Ltd. announced Tuesday it paid $122.5 million cash for the Spokane-based pharmaceutical and biopharmaceutical maker, which specializes in injectable allergy treatment products.
HollisterStier has numerous contracts to make sterile injectables for pharmaceutical companies around the world. It has 450 employees at its Spokane plant, President and CEO Tony Bonanzino said.
Jubilant specializes in pharmaceutical research and manufacturing, with more than 3,300 employees in India, the United States, Europe and China, the company said in a news release.
Jubilant also owns U.S.-based Target Research Associates, a clinical research organization in Berkeley, N.J, and Cadisda Pharmaceuticals of Salisbury, Md.
Bonanzino said Jubilant plans to complete a $30 million expansion begun last year at HollisterStier's 20-acre campus. The plant encompasses 150,000 square feet of production space.
As part of the purchase, Jubilant will reimburse HollisterStier for about $16 million in remaining expenses to complete the expansion and begin commercial production next year. The expansion includes a 50,000-square-foot addition to HollisterStier's plant and a second production line.
Last year, HollisterStier posted about $55 million in revenues, with nearly $11 million in earnings.
Windward Capital Partners, a private equity firm based in New York, has been HollisterStier's majority owner since 1999.
HollisterStier was founded in Spokane in the 1920s to make allergy products. Bayer Corp. bought the company in 1974 and owned it until the sale to Windward.
Source : Seattlepi