Mallinckrodt has entered an agreement to sell its nuclear imaging business to IBA Molecular, which carries a price tag of approximately $690 million. The expectation is this transaction will advance Mallinckrodt’s strategic portfolio to specialty pharmaceuticals. Further, nuclear imaging’s strategic fit with IBA Molecular will benefit patients around the world who depend on medical isotopes.

“Mallinckrodt’s nuclear imaging operation has a long history going back 50 years, and has been a strong cash-generating business over time,” says Mark Trudeau, Mallinckrodt’s president and CEO. “Our team has made significant progress in driving profitability over the past few years.”

Trudeau highlights that the company has decided to focus its strategic priorities on enlarging its pharmaceuticals portfolio; thus, the sale of the nuclear imaging business to IBA Molecular is the right move for both companies.

Renaud Dehareng, IBA Molecular’s CEO, concurs, adding: “We are very excited about this acquisition. [IBA Molecular’s] and Mallinckrodt’s nuclear imaging business’ complementary footprint and capabilities will substantially broaden our ability to serve patients globally. We are very pleased to welcome our new colleagues to [IBA Molecular] upon closing and look forward to working together in this next chapter of our company’s development.”

As of the fourth quarter in fiscal 2016, which ends September 30 , Mallinckrodt will report the nuclear imaging business as a discontinued operation.

For more information, visit Mallinckrodt and IBA Molecular.