Zeev's Turnips Patch-No Politics (ZEEV)

[brainlessone]

The Q-Med Group divests the North American business regarding the esthetic products RESTYLANEÒ , RESTYLANEÒ Fine Lines and PERLANEÔ to Medicis for USD 160 million

The Q-Med Group has signed an agreement to divest all shares in the wholly owned subsidiary HA North American Sales AB to Medicis (NYSE: MRX). HA North American Sales AB’s most important asset is the market rights to sell RESTYLANE®, RESTYLANE® Fine Lines and PERLANE™ in the USA and Canada. The deal does not comprise any other products than these three. In addition Q-Med retains the rights to exclusive production of the three products for the North American market for 10 years with normal profit margins.

Terms of payment
The deal generates a gross revenue and capital gain of USD 160 million, which goes to the Q-Med Group in stages as and when the agreed conditions are met. A first payment of USD 58.2 million will be made provided that the American antitrust authority approves the deal. After sales approval has been obtained from the FDA for RESTYLANE® in the USA, a payment of USD 53.3 million falls due. USD 29.1 million falls due after sales approval of PERLANE™. When HA North American Sales AB has achieved sales over a rolling 12-month period of USD 40 million a last one-time payment of USD 19.4 million falls due to Q-Med.

In addition Medicis holds an option to acquire future esthetic products that are developed by Q-Med for sale on the North American market at a valuation made on the occasion of the acquisition, based on an estimation of the market value.

Q-Med will be responsible for the improvement of existing products and the development of new products, and will carry out sales in the rest of the world under its own management.

"The deal gives us a highly reputable partner and a natural channel out onto the market in the USA also for our esthetic products in the future. We expect to carry out similar transactions for other product areas as well in the future when appropriate. Furthermore, through this deal we release strategic and financial resources to strengthen Q-Med’s leading position in all markets outside the USA," says Bengt Ågerup, President and principal owner of Q-Med.


so it looks like medicis will sell the stuff. could not be beteer