Wockhardt divests its German business Esparma

Debt-ridden Wockhardt today said it has sold its German business Esparma to Mova GmbH, a pharma company in the same European country.

Mova is a subsidiary of Germany's Lindopharm GmbH.

Wockhardt had acquire Esparma business in May 2004 for around $11 million.

"Wockhardt is re-inventing itself by taking fundamentally strong and positive steps," the company said in a statement.

It, however, but did not disclose any financial details.

Wockhardt continues to be on the growth track and this initiative is the first step towards its on-going strategy to re-structure, rationalise and optimise all of its businesses and raise fresh capital by divesting some of its smaller operations and non-core business, it added.

Wockhardt is facing a debt of around Rs 3,400 crore and had sought corporate debt restructuring to tackle the situation. It is also looking for divesting its stake in non-core business to raise money to repay the debt.