Alembic acquires Non-Oncology Business of Dabur Pharma

Alembic Ltd on January 31, 2007 has announced the acquisition of the entire Domestic Non-Oncology Formulation Business of Dabur Pharma Ltd. The acquisition would be ‘on going concern’ basis. Non-Oncology Formulation Business of Dabur Pharma is mainly into high growth life style segments like Cardiovascular, Diabetic and Gastrointestinal, Gynaecology, etc.

This acquisition is subject to necessary statutory and regulatory approvals wherever applicable. The transaction is likely to be completed in about two months.

The consideration for the acquisition is Rs 159 crores plus the actual net working capital on the closing date.

This business had net sales of Rs 62 crores for nine months ended December 31, 2006 and is expected to post sales of Rs 80 crores for the full year.

While announcing the acquisition Mr. Chirayu Amin, Chairman & Managing Director, of the Company said, "Alembic is augmenting its presence in the International as well as the Domestic pharma space. This strategic acquisition is to enhance our Domestic Market share by entering prospective therapy segments. Alembic will aggressively pursue its strategic goals through organic and inorganic initiatives in the near future."

Source : Equity Bulls

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