INGELHEIM, Germany (Reuters) - Boehringer Ingelheim, Germany’s second-largest drugmaker, said on Wednesday it was targeting a marked gain in 2017 revenues, boosted by new animal health businesses it acquired from Sanofi (SASY.PA).
Unlisted Boehringer on Jan. 1 wrapped up an asset swap that saw Boehringer take Sanofi’s $13.5 billion (10.82 billion pounds) animal care subsidiary, making it Europe’s largest player in the industry.
In return, Sanofi obtained the German company’s consumer health care business unit, valued at nearly $8 billion, plus a $5.5 billion cash payment from Boehringer.
Boehringer, which invented mass production of baking powder in the 1890s and which collaborates on diabetes drugs with Eli Lilly (LLY.N), posted a 7.1 percent gain in sales to 15.9 billion euros (13.62 billion pounds) last year.
Operating income jumped 27 percent to 2.9 billion euros, helped by an upfront payment of almost $600 million from U.S. drugmaker AbbVie (ABBV.N) for the marketing rights to a promising experimental psoriasis treatment.
Reporting by Patricia Weiss; Writing by Ludwig Burger; Editing by Maria Sheahan