Cipla in US $14mn deal with Sri Lankan distributor firm - Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP Research, Pharma - Angel Broking)

Cipla in US $14mn deal with Sri Lankan distributor firm:

"Cipla acquired around 60% stake in a Sri Lankan company for US $14mn through its wholly-owned subsidiary to market its products in that country. Cipla wholly owned subsidiary Cipla (Mauritius) has signed a definitive agreement with the company's existing Sri Lankan distributor of 60% stake in new company which will market Cipla's products in Sri Lanka. With this acquisition, the company is looking at emerging economies to fuel its growth, however, the current acquisition is not a large deal compared to its earlier acquisition made in South Africa. The company has completed the acquisition of South African pharma company Cipla Medpro last year for about Rs. 2,707 cr. We maintain our buy on the stock, with a target of Rs. 480."

Source : Equity Bulls

Keywords