Australian Pharmaceutical Industries Limited
(ASX:API) will sell its shareholding in CH2 Holdings at a $2.8 million loss.
API and private equity firm Allegro Funds together hold 91 per cent of shares in the hospital supplies distributor and are selling out to a private buyer.
The sale will pay out the CH2 debt and realise $4 million cash for API with a book loss of $2.8 million after costs.
The sale allows API to focus on better performing assets within the company.
API reported a net profit of $43.12 million for the full year ended 31 August 2015.
