Halo Pharmaceutical has entered an agreement to acquire Teva’s Mirabel (Quebec) manufacturing facility. The transaction, pending negotiations of manufacturing agreements between Teva Canada and Halo, is scheduled to close June 30th.

Approximately 150 employees will continue to work at Mirabel. Halo plans to grow commercial contract manufacturing and product development to support products for the Canadian market, as well as production for export outside of Canada.

Once complete, the acquisition will broaden Halo’s product offerings, especially in non-sterile cream and ointment capacity, and large volume liquids. The move will also broaden Halo’s geographic reach because of the inspection mutual recognition treaty between Canada and the EU. As a result, Halo will sell a broader range of dosage forms into a broader geographic territory.

This transaction will essentially double the size of Halo in terms of number of employees, square feet of production capacity, and revenues. The move will double Halo’s commercial capacity and more than double its development capacity.

“We are extremely pleased that our continued efforts to secure a buyer have been successful, not only for Teva, but most importantly for our dedicated Mirabel employees, Canadian consumers and the province of Quebec,” said Barry Fishman, president and chief executive officer of Teva Canada. “We believe Halo Pharmaceutical is a highly qualified contract manufacturer who will maintain a manufacturing presence in Quebec.”
 
“Halo Pharmaceutical is delighted to become a supplier of quality products to Teva Canada,” said Clive Bennett, president and chief executive officer of Halo. “Through this strategically important acquisition we gain a pool of skilled people with wide-ranging experience, the opportunity to provide continuing employment to many present employees and to grow our global business.”

Mohd Asif, chief financial officer at Halo, added, “With the acquisition of this state-of-the art facility, Halo’s market reach will expand to Europe, in addition to the U.S. and Canadian markets. Furthermore, Halo will be able to offer new distribution capabilities to its customers as well as unique R&D services.”