Paladin, Pharmaplan Pty Ltd., Litha Healthcare deal

Paladin will exercise an option under a 2010 deal to acquire the 55.01% of drug distributor Pharmaplan it does not already own. Litha will then acquire 100% of Pharmaplan from Paladin in a stock and cash deal valued at about ZAR590 million ($76.8 million). Paladin will receive ZAR125 million ($16.3 million) in cash and 169 million Litha shares. Pharmaplan imports and distributes medicines in South Africa and the broader sub-Saharan Africa region (see BioCentury, March 22, 2010).

Pharmaplan's founder and CEO Gert Hoogland will become the head of Litha's Pharma Division. Litha said the division had ZAR79 million ($10.3 million) in 2010 revenues. Upon closing Hoogland will join Litha's board, along with Paladin's interim president and CEO Mark Beaudet and VP of business and corporate development Mark Nawacki. ...