Teva Pharmaceutical Industries Ltd said Monday it will sell the remaining assets in its specialty women’s health business for $1.38 billion. Proceeds, combined with the recently announced sale of contraceptive brand Paragard for $1.1 billion, will be used to repay debt.
Israel-based Teva, with North American headquarters in North Wales, Montgomery County, said the buyers are CVC Capital Partners and Foundation Consumer Healthcare. The transactions are expected to close before the end of the year.
Teva, which named new CEO Kare Schultz last week, faces large debt from a $40 billion acquisition of Allergan’s generics business in 2015. The stock has lost half its value, as investors wait for Teva to come up with a plan to address challenges, including pricing pressures for its U.S. generic drug business.
Teva lost a patent-infringement case in February to protect its best-selling, branded multiple-sclerosis drug Copaxone from competition by drug manufacturers who will make lower-cost, chemically-equivalent generic versions to sell.
Teva, which lowered its outlook for the rest of 2017 and cut its dividend payout in August, is selling off businesses such as its women’s health products and European oncology and pain business to pay down debt.