3M sells pharma business

3M has entered agreements to sell its global branded pharmaceuticals business in three parts for approximately $2.1bn.

Graceway Pharmaceuticals has agreed to acquire 3M’s pharmaceutical operations in the US, Canada, and Latin America for $875m.

Meda has agreed to acquire 3M’s pharmaceutical business in Europe for $857m. This agreement will be implemented by each 3M subsidiary subject to compliance with third-party notice and approval requirements.

Ironbridge Capital and Archer Capital have agreed to acquire 3M’s pharmaceutical operations in the Asia Pacific region, including Australia and South Africa, for $349m.

Under the agreements, the purchasers will acquire regional marketing and intellectual property rights for 3M’s branded pharmaceuticals, including Aldara, Difflam, Duromine, Tambocor, Maxair, Metrogel-Vaginal and Minitran. 3M’s Drug Delivery Systems Division will be a source of supply to the acquiring companies for the products. As part of the transaction, Graceway Pharmaceuticals will also acquire the rights to certain IRM molecules.