Alpharma announces sale of Aquatic Operations, Norway
Alpharma Inc. announced that it has completed the sale of the aquatic animal health operations of its Animal Health business to an employee group. The aquatic operations, which are headquartered in Oslo, Norway, manufacture and market vaccines primarily for use in immunizing farmed fish worldwide.
The sales price of this transaction is expected to be approximately $3.9 million and is based on working capital of the aquatic business. In addition, the agreement includes potential future payments to Alpharma, based on future aquatic earnings, and the assumption by the buyer of certain liabilities. The company expects to record a pre-tax non-cash loss on impairment of approximately $10 million (diluted earnings per share of $0.14) in the second quarter of 2004 related to this sale. 2003 revenues and operating loss related to the aquatic operations were $15.0 million and ($4.3) million, respectively.
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