3M announced it has entered into agreements to sell assets associated with its dental local anaesthetic portfolio, based in Seefeld, Germany, to Pierrel, a global provider of services for the pharmaceutical industry, for a purchase price of US$70m, subject to closing and other adjustments.
3M’s local anaesthetic products, sold primarily in Europe and Asia, include products sold under the Ubistesin, Xylestesin and Mepivastesin brands together with related syringe and needle products and are part of the dental materials business in 3M oral care solutions division.
As part of ongoing strategic portfolio management, 3M has decided to exit these products and prioritise investments that leverage its health care business’ core oral care technologies.
Karim Mansour, president, 3M oral care solutions division said, “3M will continue to invest in oral care solutions for our Europe and Asia customers and those around the world.”
These local anaesthetic products had annual sales in 2022 of approximately $30m and the impact of ongoing operations were not material to 3M financial results.
The transaction, which is subject to information or consultation requirements with relevant works councils and other closing conditions, is expected to be completed in Q3 of 2023. 3M expects to record a gain upon this business’s divestiture which it will reflect as an adjustment in arriving at results, adjusted for special items. After the transaction closes, 3M will provide transition support to Pierrel to help facilitate a smooth transition for customers.
3M will retain ownership of its Seefeld facility and operations, which support 3M’s oral care business.