“The sale of Obagi marks additional progress in our efforts to streamline our operations and reduce debt,” said Valeant CEO Joseph C. Papa. “As we continue to transform Valeant, we will remain focused on the core businesses that will drive high value for our shareholders.”
Obagi Medical Products is a global specialty pharmaceutical company founded by leading skin care experts in 1988. The company currently estimates that the full-year 2017 revenue and adjusted EBITDA (non-GAAP) for the Obagi business would have been approximately $85 million and $30 million, respectively.
The transaction is expected to close later this year, subject to customary closing conditions, including receipt of applicable regulatory approvals. Valeant will use proceeds from the sale to permanently repay term loan debt under its senior secured credit facility.
Limited partners of Haitong International Zhonghua Finance Acquisition include industry veterans in other geographic markets, such as China Regenerative Medicine International Limited.