Cook Pharmica sold to Catalent Incorporated this morning.
According to separately filed press releases, New Jersey-based Catalent bought Cook Pharmica from the Bloomington-based Cook Group for $950 million.
The deal, which was announced this morning, is still subject to federal approval, but could go through within the next forty days.
Cook Group Spokeswoman Marsha Lovejoy says the sale of Cook Pharmica to Catalent won’t effect current employees.
Cook Pharmica employees were not informed of the sale of the company, until it was announced this morning.
Catalent Spokesman Elliot Berger says the publicly-traded company bought Cook Pharmica in order to expand their pharmaceutical reach into biologics— those are large and complex biological molecules, that are often injectable, like vaccines.
Berger says Catalent’s acquisition of Cook Pharmica comes after the company expanded its biologics production in Madison, Wisconsin.
Indiana University Kelley School of Business Senior Lecturer George Telthorst says the sale of Cook Pharmica to Catalent makes sense for the Cook Group, which is largely a medical device manufacturer.
Cook Group Spokeswomen Lovejoy says that, in addition to the sale of Cook Pharmica, the Cook Group has purchased the old General Electric plant in Bloomington. Lovejoy says the Cook Group bought the facility for $6.5 million, in order to expand their operations.
Lovejoy says the Cook Group is expecting to hire 500 additional jobs in Bloomington over the next decade.
Bloomington Mayor John Hamilton’s office released a statement praising the Cook Group’s announcement and welcoming Catalent to Bloomington.
According to Catalent’s statement, 750 million of the nearly one billion dollars the company paid to acquire Cook Pharmica will be paid to the Cook Group in installments over the next four years.