Teva Pharma (Thailand) Co. Ltd.

PTT Public Company Limited (“ PTT ”) would like to inform that on 6 June 2024, Board of Directors of Lotus Pharmaceutical Company Limited ( “Lotus”) (PTT ’s subsidiary) approved the 100% share acquisition of Teva Pharma (Thailand) Company Limited (“Teva Thailand”) by Lotus. On 1 August 2024, the execution of the share transfer, including the settlement of payment, has been completed with the total purchased value of NTD 1,500 million or approximatlely THB 1,650 million . As a result, after the acquisition, Lotus holds 100% shareholding of the registered capital in Teva Thailand. The objective for the investment is to align with Lotus strategy in strengthen business to become a leader in Southeast Asia . Lotus is a fully integrated pharmaceutical company that focuses on research and development, manufacturing, and distribution of Generic drugs that cover therapeutic areas especially oncology and central nervous system diseases . This investment will enable Lotus to expand more portfolio and distribution channels into ophthalmology and respiratory into hospitals and retail pharmacies in Thailand . This transaction is not a connected transaction and the transaction size does not require any disclosure under regulations on acquisition and disposition of assets of the listed companies. However, this is to report that a listed company or its subsidiary company acquires of an investment in another company, which results in that other company becoming to be a subsidiary company of the listed company or its subsidiary company. Therefore, this transaction results that Teva Thailand is the subsidiary of PTT.

Lotus Pharmaceuticals snapped up Teva’s Thailand operations as the generics giant continues to shed manufacturing operations. Taiwan’s Lotus Pharmaceuticals acquired Teva’s Thailand operations for an undisclosed price as the Israel-based generic giant continues to shed manufacturing operations as part of a massive restructuring unveiled a year ago. Once the sale is completed by the end of the third quarter of this year, Teva’s Thailand operations will become a wholly owned subsidiary of Lotus, which will take over the sales and marketing of existing products. The outfit, located in Bangkok, has a team of about 80 workers that Lotus expects to expand to about 100, the company said in a June 6 press release. The acquisition gives Lotus access to Teva’s ophthalmic and respiratory portfolio, including leading ophthalmic products such as Natear, that will allow Lotus to enter pharmacy channels in Thailand. “This acquisition marks a significant milestone for Lotus as we continue to reinforce our presence across Southeast Asia and is a step towards our aspiration of becoming a leading player in Asia Pacific,” Petar Vazharov, Lotus' chief executive, said in the release. “By integrating Teva Pharma Thailand into our operations, we strengthen our generics and specialty product offerings, laying a solid foundation for sustained profit growth in the years ahead.” The sale is part of Teva’s “Pivot to Growth” strategy that was announced a little over a year ago. The plan calls for the company to reduce its manufacturing footprint. It closed three sites last year and reduced its overall production sites to 49. In an earnings call in May, Teva announced it plans to shutter or sell four more facilities by the end of 2025 with a target of having a global operating footprint of 40 to 42 plants by 2027.  Teva also said it will likely put its generics business in Japan on the block within the next year.