Akorn, Inc. announced that it has sold its subsidiary, ECR Pharmaceuticals (ECR), to Valeant Pharmaceuticals (NYSE/TSX: VRX) for $41 million in cash and assumption of certain liabilities.
ECR Pharmaceuticals was formed in 1990 with a major focus on respiratory therapies. In April, 2014 ECR was acquired by Akorn as part of a larger acquisition of Hi-Tech Pharmacal.
Raj Rai, Akorn’s Chief Executive Officer, commented, “While ECR is a solid platform of branded products, it is not a strategic fit to our business model of focusing on niche dosage forms. We believe this asset has better prospects for future growth and development under the leadership of a company like Valeant.”