Aurobindo Pharma made its latest move to expand the company’s steady presence in Europe. The Indian Pharma major inked a binding agreement to acquire Portuguese Generis Farmaceutica from private equity firm Magnum Capital Partners in an all-cash deal of 135 million euros (approximately Rs 969 crore).
The Indian Pharma major is expanding its European presence since 2006. Aurobindo has gained access to important market segments with various acquisitions. Most notable was the 2014 Actavis commercial operations acquisition deal which marked the company’s presence in seven Western European countries.
Aurobindo Pharma signed the binding agreement with Generis Farmaceutica through its wholly-owned subsidiary Agile Pharma BV Netherlands.
The company claims that the latest acquisition along with its prior acquisitions and the strong portfolio of the Portugal Company will help the Indian Pharma to be the top generic player in the Portuguese market.
“The acquisition of Generis, by leveraging its strong portfolio and unrivaled brand recognition will allow us to establish ourselves as the top generics player in the Portuguese market,” said V Muralidharan, Aurobindo SVP European Operations.
He added, “This acquisition coupled with our past acquisition activity underlines our commitment to focus on growth initiatives in European markets and will be a key driver of growth for the future”.
The Portugal-based company is associated with the production and sales of pharma products. According to Aurobindo’s estimations, the net sale of the company’s acquired business will increase to 72 million euros in comparison to previous year’s 64.8 million euros.
The agreement includes a Generis Farmaceutica’s manufacturing facility of annual production capacity of produce 1.2 billion tablets/capsules/sachets annually present in Amadora, Portugal. Portfolio of 271 drugs which belongs from a wide range of therapeutic areas including cardiovascular, CNS, anti-infectives and genito-urinary systems will now be added to the already existing broad portfolio of the Indian Pharma.
The combined entity will benefit from a robust pipeline covering all major molecules coming off patent in the next five years, Muralidharan added.
Generis CEO Paulo Lilaia believes that the company will be immensely benefitted from Aurobindo’s vertical integration and strong product pipeline. He added, “Our large portfolio along with our unmatched commercial presence in Portugal will allow Aurobindo to consolidate its market position in Portugal”.
Recently in November 2016, the Indian Pharma major acquired selective Teva Assets in France through its French subsidiary Arrow Generiques.
Featured Image Credit: Bigstockphoto