we sold for 900 millions!!!, page-3

ACCC clears Aspen to buy Sigma pharma unit
16/12/2010 4:11:06 PM

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The competition watchdog has given the all-clear to Aspen Pharmacare Holdings Ltd to buy Sigma Pharmaceuticals Ltd's pharmaceutical division for $900 million.

But the Australian Competition and Consumer Commission (ACCC) says the Australian subsidiary of South African-based Aspen Holdings has to sell certain brands to address its competition's concerns.

"The ACCC is satisfied, taking into account the divestiture undertaking by Aspen to sell certain pharmaceutical brands, that the proposed acquisition is unlikely to substantially lessen competition," ACCC chairman Graeme Samuel said in a statement on Thursday.

The watchdog identified several pharmaceutical markets where competition concerns were raised, Mr Samuel said.

"The proposed acquisition would remove the only competitor to Aspen in a number of pharmaceutical markets," he said.

"Without the proposed divestitures, Aspen would become the sole supplier in these pharmaceutical markets."

The ACCC said further competition concerns would be averted following the agreement with Aspen to sell Sigma's Sone brand containing prednisone, Sigma's Solone brand containing prednisolone, and Aspen's LPV brand containing phenoxymethylpenicillin.

Sigma shares ended one cent higher at 40 cent