Monday June 25, 11:31 am Eastern Time
Press Release
SOURCE: Nabi
Nabi to Sell Majority of Its Antibody Collection Business to CSL Limited for $152 Million in Cash
BOCA RATON, Fla., June 25 /PRNewswire/ -- Nabi (Nasdaq: NABI - news) today announced that the Company has signed a definitive agreement to sell the operating assets of a majority of its antibody collection business to CSL Limited, a global manufacturer of biologically based healthcare products including products derived from human plasma. The agreement covers 47 of Nabi's current 56 antibody collection centers and its testing laboratory. In return, Nabi will receive a cash payment of $152 million from CSL subject to closing adjustments. In addition, Nabi will realize approximately $20 million upon liquidation of the related net current assets, principally receivables. Nabi will retain inventory that will be used in the production of its biopharmaceutical products.
The funds received from this sale will enable Nabi to immediately repay its current bank debt of approximately $20 million while providing substantial resources for advancing its product pipeline and for the further growth of its biopharmaceutical business. At the same time, by retaining nine antibody collection centers, Nabi will be able to generate sufficient raw materials for the manufacture of its own antibody-based therapeutic products in its Boca Raton plant.
The transaction which is subject to customary closing conditions is expected to close by the end of the third quarter and is not subject to a financing contingency. In addition, CSL has agreed to offer employment to virtually all of the employees of the transferred operations. Nabi was advised in this transaction by the investment banking firm of Stonebridge Associates, LLC.
David Gury, Nabi's Chairman, President and Chief Executive Officer, said, ``With this transaction, Nabi's transition from a supplier of raw materials to pharmaceutical and diagnostics manufacturers into a vertically integrated biopharmaceutical company will be nearly complete. With the substantial resources derived from this transaction, Nabi will be well positioned to further develop its high margin biopharmaceutical business. We look forward to a strong future relationship with CSL, a world leader in vaccine and plasma-derived products.''
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