Indian pharma company Wockhardt Ltd said on Sunday it had signed an agreement to divest its Animal Health Division to France's Vetoquinol, but did not provide any financial details on the deal. (Editor: The Economic Times reported that the deal size could be anywhere between Rs 170-180 crore.)
"For Wockhardt this initiative to divest its non-core business is a step towards its continued growth plan and a firm focus on its core human pharmaceutical business," it said in a statement.
"Wockhardt is re-inventing itself by taking fundamentally strong and positive steps by restructuring and rationalising its businesses to raise fresh capital and gain investor confidence," it said.
The transaction would take effect in the second half of 2009, it added. Earlier this month the company obtained shareholders' approval to transfer, sell or dispose off its Animal Health Business for about 1.5 billion rupees ($31.2 million).
For the year ended December 2008, the animal healthcare business posted operating profit of 180 million rupees on net sales of 770 million rupees.
Vetoquinol is an independent, family-owned veterinary pharmaceutical laboratory.