Sagent Pharmaceuticals Inc (fka SGNT)

[surf1944]

7:04AM Sagent Pharma announces agreement to acquire remaining 50% interest in Chinese manufacturing JV for $25 mln (SGNT) 16.52 : Co announced an agreement to acquire the 50% interest of its joint venture partner, Chengdu Kanghong Pharmaceuticals, formerly Chengdu Kanghong Technology, in the Kanghong Sagent (Chengdu) Pharmaceutical joint venture, for $25 million, payable in installments through September 2015. Upon completion of the acquisition, KSCP will become a wholly-owned subsidiary of Sagent. Upon completion of the acquisition, KSCP's assets and liabilities, as well as its financial results, will be reported on a consolidated basis with Sagent, rather than using the equity method of accounting to report Sagent's share of KSCP's net income or net loss all in accordance with US GAAP. Sagent currently anticipates the income statement consolidation will result in an incremental annual cost of $6 to $8 million through 2015.