Sandoz, a Novartis company, has planned to acquire Sabex Holdings Ltd in a US $565 million cash transaction that will provide strong growth opportunities in injectable generics and new entry into the Canadian generics sector, the company sources said. The deal continues Sandoz strategy of building its global business through strong organic growth and strategic acquisitions that provide access to new geographic markets, therapeutic lines, formulations and production capabilities.

Headquartered in Boucherville, Quebec, Sabex is a privately held generics manufacturer in Canada. Sabex offers FDA manufacturing status and a broad range of critical care and ophthalmic medicines as well as suppositories and other products covering more than 80 molecules.

"The acquisition of Sabex provides Sandoz with a leadership position in injectable generics in Canada and a platform to build a generic injectables business globally, particularly in the rapidly growing US market," said Christian Seiwald, CEO of Sandoz. "The deal also gives Sandoz a new operational presence in Canada, the sixth largest market for generics in the world, where we see exciting opportunities to increase sales of our existing portfolio of solid dosage forms," he added.