Ferro Completes Sale of Pharma Business

Ferro Corp. has completed the sale of its pharmaceuticals business, Pfanstiehl Laboratories, to PLI Holdings, an affiliate of Med Opportunity Partners, for $16.9 million in cash and an earn-out incentive of as much as $8 million based on earnings targets. Ferro’s pharmaceuticals business had revenues of $2.4 million in 2012.
 
The sale is part of Ferro’s strategy to divest non-core businesses and drive earnings growth and profitability from its core Performance Materials and Performance Chemicals businesses.
 
“The sale of our pharmaceuticals business is another important milestone in our value creation strategy. The Ferro portfolio now is more fully concentrated in our core technologies in coatings and color and glass science, polymer science, and organic synthesis,” said Peter Thomas, interim president and chief executive officer of Ferro. We will remain focused on improving return on invested capital and cash flow by streamlining operations, reducing operating costs, and pursuing select growth opportunities. We are energized by the progress we’re making and committed to reaching our value creation objectives.”