TPI Enterprises buys European opiate pharmaceuticals company

Company News

by Jessica Amir

TPI Enterprises (ASX:TPE) has signed an agreement to buy the opiates and tableting division of a European opiate pharmaceuticals company.

The Australian poppy processing company inked the deal to buy the division of Vistin Pharma ASA in Norway for $25.4 million.

The acquisition is expected to be EPS accretive on a pro-forma NPAT basis in FY18 of 10 cents per share.

The purchase has an implied EBITDA multiple of 5.6 times for FY17.

The company says it’s a major step toward delivering its Narcotic raw material volume growth.

Shares in TPI Enterprises (ASX:TPE) are trading 10 per cent higher to $2.42.

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