BASF on Friday announced it intends to sell several prominent pharmaceutical ingredients to Siegfried Holding AG for $306 million.
Germany-based BASF, the world's largest chemical company, indicated it would divest its custom synthesis business and a portion of its active pharmaceutical ingredients business to the Swiss pharmaceutical company.
As a result, caffeine, ephedrine and pseudoephedrine will no longer belong to BASF; the company will retain selected APIs with leading market positions, including ibuprofen, omega-3 fatty acids and polyethylenglycol.
The deal also includes BASF facilities in Germany, France and Switzerland.
BASF officials said the move would help focus the company's operations on "growth and high margin core businesses" -- most notably excipients, which help patients absorb the active ingredients in pharmaceutical products.
Siegfried officials said the transaction would create a company with the size to "play a leading role in the supplier market as a recognized partner for the pharmaceutical industry."