Novo A/S has purchased Xellia Pharmaceuticals for $700 million.
Oslo, Norway-based Xellia was spun out from Alpharma Inc. in 2008 when it was purchased by London private equity firm 3i Group plc. The target has evolved from a pharmaceutical ingredient maker to a pharmaceutical company that makes anti-infection products.
The products include Vancomycin, used to treat infections instead of penicillin, and Colistimethate Sodium, used to treat bacterial infections. The company produces its medications in facilities in Denmark, Norway, Hungary and China.
Novo’s investment will allow Xellia to focus on research and development for products in its pipeline and expand its manufacturing footprint.
The buyer, headquartered in Copenhagen, is the holding company for the Novo Group, and is the majority shareholder of Novo Nordisk A/S/ and Novozymes A/S.
This is the second deal for anti-infection products in May. On May 17, Aridis Pharmaceuticals announced it is buying Kenta Biotech’s anti-infection treatment products.