Billion-dollar write-off: Australian pharmaceutical company CSL has made a thorough miscalculation with its Swiss subsidiary Vifor
CSL had paid almost $12 billion for Vifor four years ago. Now the company sees itself forced to write off around a third of this sum. The impairments will be accompanied by extensive job cuts.
CSL, an Australian pharmaceutical company, has been forced to write down the value of its acquisition of Vifor Pharma, a Swiss pharmaceutical company, by $4.1 billion due to increased competition and disappointing sales. Vifor was acquired by CSL for $11.7 billion in 2022. CSL's CEO expects a 25% drop in sales for the current year, citing competition from generic manufacturers and the loss of a key medication's EU approval.
Despite this, CSL's stock price rose over 17% after the announcement, with analysts believing the company is on the right track due to its stable overall sales and cost-cutting efforts.
Written by urgent.news from NZZ Wirtschaft's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
