Akzo Nobel to acquire Scottish pharmaceuticals
9 Dec 2002
Diosynth, a business unit of Akzo Nobel, has reached an agreement to acquire GlaxoSmithKline's (GSK) manufacturing facility in Montrose, Scotland, securing around 500 jobs.
The planned acquisition will increase Diosynth's production capacity of pharmaceutical ingredients.
The Montrose facility currently produces pharmaceutical ingredients for a variety of GSK's products, including treatments for respiratory problems, skin conditions, highly infectious diseases, cardiovascular complaints and cancer.
The facility currently has a workforce of around 700. Akzo Nobel expects that a reduction in headcount will be achieved by voluntary redundancies, although the company did not rule out compulsory redundancies.
Financial terms of the deal were not disclosed. It is expected to be signed and completed early in 2003.
