Teva to cut 250 jobs in API division as sale talks stall
Pharmaceutical giant restructures raw materials unit amid stalled revenues and strategic review.
Israeli pharmaceutical giant Teva will lay off 250 employees from its active pharmaceutical ingredients (API) division over the next two years. Before the cuts, TAPI employed 4,000 workers globally, including 650 in Israel. The layoffs will therefore affect a significant portion of Teva’s local workforce.
Since CEO Richard Francis took over, Teva has identified TAPI’s operations as non-synergistic with its core business and has held discussions about a potential sale, though without success. In the meantime, the division’s revenues have remained largely stagnant and have even slightly eroded, despite remaining profitable.
In Israel, the move will mainly affect the Teva site in Neot Hovav, which produces active ingredients for the pharmaceutical industry. The company said the restructuring is intended, first and foremost, to ensure the site’s long-term viability so it can continue operating as a competitive and sustainable industrial facility, and remain a significant part of TAPI’s global operations.
Alongside the layoff announcement, Teva said it continues to strategically evaluate the possible sale of its global TAPI business, depending on market conditions. In addition, Plantex, another TAPI unit in Israel that announced the closure of its site in 2018 as part of Teva’s broader restructuring plan, will cease operations at the end of 2027, with its products transferred to Neot Hovev.
