ASPEN: 6,935 +108 (+1.58%)
South Africa's Aspen mulls sale of infant formula unit
(Adds shares rise, background)
JOHANNESBURG, Sept 11 (Reuters) - South African drug maker
Aspen Pharmacare said on Tuesday it was in discussions
to sell its global infant formula business, but did not give any
Aspen's infant milk formula business sells infant milk
formula in the Asia-Pacific, Sub-Saharan Africa and Latin
America, and has a growing presence in the Middle East and
"Aspen is currently engaged in discussions regarding a
possible divestment of its global infant nutritionals business,"
the firm said in a statement.
Shares in Aspen, with operations in 50 countries, traded up
after the announcement, rising 2.34 percent to 271.94 rand by
"It's going to inject some cash into the balance sheet,"
said Independent Securities trader Ryan Woods.
In January, Aspen said it would review the infant milk
formula business with options including a sale to a strategic
partner. The unit has factories in New Zealand,
South Africa and Mexico.
(Reporting by Tanisha Heiberg
Editing by James Macharia)
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