BASF sells Shreveport site

BASF has signed an agreement to sell its manufacturing facility in Shreveport, Louisiana to India-based pharmaceutical company Dr Reddy’s Laboratories. Financial details of the transaction were not disclosed.

The agreement includes the sale of the related contract manufacturing business for finished pharmaceuticals and the transfer of 150 employees from BASF to Dr Reddy’s Laboratories

The Shreveport facility manufactures and packages prescription and over-the-counter (OTC) pharmaceutical products, liquids, tablets and creams for the North American market.

BASF says it is selling the site and related business in order to concentrate on core businesses in its Care Chemicals division, which include custom synthesis services, excipients and active ingredients for the pharmaceuticals industry.

‘BASF’s contract manufacturing activity for finished pharmaceuticals is limited to North America and not linked to the technological growth areas of the company’s Pharma Ingredients and Services business,’ said Martin Widmann, head of BASF’s Pharma Ingredients and Services global business unit. ‘We assessed a variety of strategic options, but ultimately concluded that a divestiture is the best scenario not only for BASF but also for the future of the Shreveport site and its employees.’