Novartis said April 2 it has terminated its $1 billion deal for Aurobindo Pharma to acquire Sandoz's dermatology business.
Sandoz is the generic drug subsidiary of Novartis.
Novartis said it reached a mutual agreement with Aurobindo to scrap the deal because the Federal Trade Commission didn't approve the transaction within the timeframe the companies expected.
The companies first announced the deal in September 2018. Novartis was going to sell about 300 products to Aurobindo, including Sandoz's dermatology business and generic oral solids portfolio.
The deal was worth $900 million in cash and up to $100 million more based on performance.
Sandoz will continue to operate the dermatology business, the companies said.