Galen sells business that is no longer 'core'

Galen Holdings, the Northern Ireland holding company for a host of pharmaceutical companies, has sold its Pharmaceutical Development and Manufacturing Services business (PDMS) for £20m (€28.70m).

Dr. Allen McClay, the founder and a former chairman of Galen, heads the company that has acquired this division.

McClay will fund the purchase through the sale of 4.3 million shares in Galen, reducing his stake in the 35-year-old company to 6.3%

Galen that the disposal is in line with its strategy to focus on its pharmaceutical products business as contract manufacturing is no longer a core activity.

Sales in the company in the year to September rose 46% after it acquired the rights to Sarafem from Eli Lilly last year.