Mayne Pharma sells Australian business Mayne Pharma International (MPI) to Evaris Pharma in a binding agreement announced by the company, with total cash consideration of $55.5 million. The transaction marks the company’s final step in becoming a specialty pharmaceutical business focused entirely on the United States, according to Chief Executive Officer Aaron Gray, who presented the deal alongside Chief Financial Officer Griffin Buchanan on a short-notice call.
Deal Metrics and Strategic Rationale
The $55.5 million cash price reflects 0.79 times MPI’s fiscal year 2026 revenue of $70.7 million and 12.1 times its direct contribution of $4.6 million for the same period. Mayne Pharma described the valuation as fair for a business that accounted for approximately 4% of the group’s direct contribution in fiscal year 2026, while also carrying the fixed costs and ongoing capital requirements of the Australian-owned manufacturing facility.
Gray framed the sale as the completion of Mayne Pharma’s transition to a US-only specialty pharmaceutical company. The transaction is not subject to approval by Australia’s Foreign Investment Review Board (FIRB) and carries no financing condition, removing two potential obstacles to closing.
What Changes for Mayne Pharma
After completion, Mayne Pharma will no longer operate the Australian manufacturing and commercial business known as MPI. The company’s remaining operations will be concentrated in the United States, consistent with its stated goal of operating as a specialty pharmaceutical company with a single geographic focus.
MPI’s fiscal year 2026 revenue and direct contribution figures show the business generated $70.7 million in revenue but contributed $4.6 million in direct contribution. The gap between those figures, along with the fixed costs and capital needs of the Australian manufacturing site, formed part of the rationale for the sale.
Conditions and Expected Completion
The agreement is binding, and completion is expected in the third quarter of fiscal year 2027. The company did not disclose additional conditions beyond confirming that FIRB approval and a financing condition are not required.
Mayne Pharma said proceeds from the transaction would be added to its balance sheet, though the source transcript does not specify how the funds will be allocated. Gray and Buchanan took questions on the transaction after the presentation.
Key Figures at a Glance
- Total cash consideration: $55.5 million
- Revenue multiple: 0.79x MPI’s fiscal year 2026 revenue of $70.7 million
- Direct contribution multiple: 12.1x MPI’s fiscal year 2026 direct contribution of $4.6 million
- MPI’s share of group direct contribution in fiscal year 2026: approximately 4%
- Expected completion: third quarter of fiscal year 2027
- FIRB approval: not required
- Financing condition: none
The announcement was made on November 5, 2026, with the call held that evening. Mayne Pharma’s shares trade under the ticker MAYNF, and the company files disclosures with the ASX. The presentation included a disclaimer regarding forward-looking statements and the use of non-IFRS measures, which the company said should be read alongside its audited financial statements and ASX disclosures.
