AMAG Pharma To Divest Cord Blood Registry To GI Partners For $530 Mln

(RTTNews) - AMAG Pharmaceuticals Inc. (AMAG) said that it agreed to divest Cord Blood Registry to GI Partners, a private equity investment firm, for $530 million in an all cash sale. The parties expect to close the transaction in the third quarter of 2018.

AMAG said it intends to use the majority of the transaction proceeds to pay off the remaining $475 million of principal of its 7.875% Senior Notes due 2023.

The transaction has been unanimously approved by AMAG's Board of Directors. The closing of the transaction, including the timing of such closing, will be governed by the terms of the definitive agreement, including the satisfaction of customary closing conditions.

The company expects to update its 2018 financial guidance following the close of the transaction.