Aurobindo Pharma to buy Hyacinths Pharma, remaining stake in Silicon Life Sciences

Mon Sep 16, 2013 6:04pm IST

Related Topics

Aurobindo Pharma Ltd is acquiring Andhra Pradesh-based manufacturer of active pharmaceutical ingredients (API) Hyacinths Pharma Pvt Ltd for an undisclosed amount, the company disclosed to the stock exchanges.

"The board has decided to acquire 100 per cent of the equity stake in Hyacinths Pharma, a company incorporated to manufacture APIs from existing shareholders. The location of the land in strategically ideal and convenient for expansion plans of the company in future," the company said in a filing.

Hyacinths Pharma's unit with land measuring some 52 acres is close to an existing plant of Aurobindo Pharma in Srikakulam district in the southern state.

Simultaneously, Aurobindo Pharma is also acquiring the remaining 25 per cent stake in Silicon Life Sciences Pvt Ltd. Aurobindo Pharma had last month raised its holding in the company to 75 per cent by acquiring another 57 per cent stake in the firm which manufactures non-sterile penems.

Aurobindo Pharma did not disclose how much the company is planning to invest for this transaction either.

In another move, as previously announced, the company has decided to transfer its injectables Unit IV business to Curepro Parenterals, a wholly owned subsidiary of the company. Such moves are usually associated with either a fundraising or asset sale.

Aurobindo Pharma, which received US FDA approvals for over eight drugs this year, has been eyeing domestic and overseas acquisitions to increase its scale and revenues.

With the latest deals, it would have acquired three firms since January this year. The company was active with its inorganic growth strategy in 2006 but went slow thereafter.

In 2009, it acquired Hyderabad-based contract research firm Trident Life Sciences Ltd and in 2006 had snapped four firms including Netherlands-based generic pharma company Pharmacin International BV, Hyderabad-based APL Life Sciences Ltd and Senor Organics Pvt Ltd, and London-based pharmaceutical manufacturing company Milpharma Ltd.

The company clocked revenues of Rs 5,855.3 crore for the year ended March 31, 2013.

Over the past one year, the Indian pharma industry has seen a spate of small deals including Vivimed acquiring Actavis Pharma's formulations unit for $20.2 million, Mortara Instruments acquiring Cardiac Science Corp for $21 million and Fresenius Kabi acquiring Goa Formulations Ltd for $36.9 million.

-- Copyright 2013 VCCircle.com. All rights reserved. This content/article is provided by Mosaic Media Ventures Private Limited and not by Reuters. All rights, including copyright, in this content/article provided by VCCircle.com are owned or controlled by Mosaic Media Ventures Private Limited. The content may not be copied, broadcast, downloaded and stored (in any medium), transmitted, adapted or changed in any way whatsoever without the prior written permission of Mosaic Media Ventures Private Limited.

FILED UNDER:

Religion and Politics

REUTERS SHOWCASE

Fund Raising

Fund Raising

Flipkart raises $700 million in fresh funding.   Full Article 

Reforms Push

Reforms Push

Modi may order insurance, coal reforms if vote delayed - officials.  Full Article 

Reuters Exclusive

Reuters Exclusive

India looks to sway Americans with nuclear power insurance plan  Full Article 

To Boost Growth

To Boost Growth

Crank up public spending to revive growth - chief economic adviser.   Full Article 

Bold Steps

Bold Steps

SpiceJet rescue plan marks bold bet on Indian aviation recovery.   Full Article 

New Airline

New Airline

Tata, Singapore Air venture Vistara to take off on Jan 9.  Full Article 

Online Sales

Online Sales

Knock knock. Who's there? Amazon's best-selling holiday author.  Full Article 

Hacking Attack

Hacking Attack

N.Korea says did not hack Sony, wants joint probe with U.S.  Full Article 

Reuters Poll

Reuters Poll

BSE Sensex to hit 32,980 by December 2015  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage