Organon Pharma reinforced through diagnostics deal

As previously indicated, Akzo Nobel has sold its in vitro diagnosticsbusiness, with annual sales of 275 million euros ($245.2 million) and run by its Organon Teknika unit, to the French independent BioMerieux-Pierre Fabre (Marketletter February 26). The amount paid has not been disclosed.

Organon Teknika's pharmaceuticals business and workforce of 400, unaffected by the deal, will be transferred to Akzo's Pharma Group human health care company Organon. The group says this will further strengthen Organon and allow the Dutch firm to pursue its pharmaceuticals sector strategy of expanding businesses strongly focused on health care and biopharmaceutical production. The Organon Teknika diagnostics business has developed a number of specialized diagnostic lines worldwide but, Akzo Nobel has said, has failed to achieve the critical mass in R&D and international marketing to be able to establish a leading position for itself in the global diagnostics market.