Patheon's loss widens on refinancing, acquisition costs

Fri Mar 8, 2013 8:50am EST
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March 8 (Reuters) - Contract drugmaker Patheon Inc reported a wider first-quarter loss on charges related to its acquisition of Banner Pharmacaps.

Loss from continuing operations rose to $51.4 million, or 38 cents per share, from $19.3 million, or 15 cents per share, a year earlier.

Patheon, which provides contract development and manufacturing services to pharmaceutical companies, said revenue rose 39 percent to $213.5 million.

The North Carolina-based company recorded a $29.1 million refinancing charge. It booked acquisition-related costs of $4.4 million and restructuring charges of $4 million.

Patheon bought Banner Pharmacaps last year, which focuses on gelatin-based oral drug delivery technology, for $255 million, to expand its presence in the over-the-counter market and gain a foothold in Mexico.

The company said it also took a $10.1 million charge related to the closure of a manufacturing facility in Alberta.

Patheon shares closed at C$3.64 on the Toronto Stock Exchange on Thursday.