Aspen Pharmacare Holdings (APN) has finalised an agreement to sell its global Nutritionals business to French dairy company Lactalis Group for a fully funded cash consideration of €740m.

The acquisition is part of Lactalis’ strategy to develop a global infant nutritional business to complement its existing global product range.

Aspen Group chief executive Stephen Saad said: “We are pleased to announce that an agreement has been signed to divest of our Nutritionals business to French-based Lactalis Group, a leading multinational dairy corporation, for €740m.

“The acquisition will provide an opportunity for Lactalis to develop a leading position in the global infant nutrition segment, as well as offer opportunities for employee growth and development.”

“The disposal is in line with our strategic intention to focus our attention on our core pharmaceutical business, which includes the anaesthetics, thrombosis and high potency and cytotoxic portfolios. The heightened focus is expected to drive increased business efficiency and performance.”

The divestiture will allow Aspen’s business units located in Asia Pacific, Latin America and Sub-Saharan Africa regions to have a better focus on their core pharmaceutical business, and is expected to drive increased business efficiency and performance.

Aspen anticipates that the acquisition will provide an opportunity for Lactalis to develop a leading position in the global infant nutrition segment, as well as offer opportunities for growth and development for existing Nutritionals employees.

Proceeds will be used to buy-out Aspen’s joint venture (JV) partners in New Zealand and China for €62m.

The transaction is subject to fulfilment of a number of conditions and is expected to take place within the next six months.