JOHANNESBURG May 20 South Africa's No.2
drugmaker, Adcock Ingram Holdings Ltd, flagged a
first-half loss on Tuesday, citing costs related to a failed
$1.2 billion takeover bid from Chile's CFR Pharmaceuticals
Adcock said it likely to swing to a headline loss of as much
as 24 cents per share in the six months to end-March compared
with headline earnings of 188.1 cents a year earlier.
Headline EPS, the most widely watched profit gauge in South
Africa, strips out certain one-off and non-trading items.
Shares in the company fell 1.4 percent to 61 rand by 0801
GMT, lagging behind a slightly higher JSE All-Share index
Adcock, which is also struggling with slowing sales, poor
distribution and over-reliance on heavily regulated local
market, will pay $15.6 million in costs related to a collapsed
deal with CFR.
Santiago-based CFR dropped its offer for the drugmaker
earlier this year, saying it could not win approval from Adcock
shareholders after rival suitor Bidvest Group had
raised it stake to more than a third.
Bidvest has since been pushing through changes at Adcock,
with Bidvest Chief Executive Brian Joffe taking over as chairman
and one of his veteran lieutenants, Kevin Wakeford, as CEO.
"The recently reconstituted board of directors has approved
substantive changes to the group's internal processes and
structures," Adcock said in statement.
Adcock also said it has changed its fiscal year-end to June
(Reporting by Tiisetso Motsoeneng; editing by David Dolan)