Pfizer views options for Capsugel business, including selling the unit; closed FoldRx acquisiton

Global drugs behemoth Pfizer (NYSE: PFE) revealed yesterday that it is reviewing strategic alternatives for Capsugel, which may include a divestiture. Capsugel is a distinct business unit within Pfizer's Diversified Businesses segment and is the world's leading provider of hard capsules and an innovator in drug delivery systems.

"The decision to consider strategic alternatives for Capsugel is part of Pfizer's strategy to optimize its business mix and leverage its competitive strengths to deliver value for shareholders," said Cavan Redmond, senior vice president and group president, Pfizer's Diversified Businesses. Among Pfizer's robust and broad portfolio, Capsugel now represents a unique business, which we believe has strong potential for growth outside of Pfizer. This, combined with Capsugel's consistent performance as well as improved financial market conditions, make it a good time to undertake this review," he stated.

According to Pfizer, Capsugel is a global leader in creating innovative dosage forms and solutions for the healthcare industry. It has a strong customer base representing a cross-section of leading pharmaceutical, consumer health care and dietary supplement companies globally. Through Capsugel's innovative product offerings and customer focus, it generated revenue of $740 million in 2009, just around 1.6% of the drug giant’s total revenues.