- ALSO READ
Trading Strategies in Bandhan Bank, Eris Lifesciences by Mehul Kothari
Expensive deal valuations to hit Torrent Pharma's near-term earnings
Pharma firms with India focus preferred as US market concerns grow
Is Maruti's attempt to become a premium brand succeeding?
Dr Reddy's acquires Mayne Pharma's USA prescription portfolio for $105 mn
-
Dr Reddy’s Laboratories on Thursday said that it has signed a deal to divest certain non-core brands of the company in the dermatology segment to Eris Lifesciences for Rs 275 crore.
The divested portfolio saw sales of Rs 60 crore as of IQVIA moving annual turnover (MAT) data December 2022.
M.V. Ramana, CEO – Branded Markets (India & Emerging Markets), DRL said: “India is a focus market for us. We aspire to break into the top 5 in India. Today’s announcement is in line with our stated intention of pursuing a strategy that involves growing brands organically combined with acquisitions that are a strategic fit and divestment of non-core brands. This deal is a further step towards consolidating our core and helping us deliver focused play in India in keeping with our purpose of ‘Good Health Can’t Wait’.”
In January Eris had bought some derma brands from Glenmark Pharma as well. Eris Oaknet Healthcare, a wholly owned subsidiary of Eris Lifesciences had bought the tail end brands from its derma segment for India and Nepal for Rs 340 crore from Glenmark. The portfolio has an annual revenue base of around Rs 85 crore.
“This acquisition will strengthen Eris’ presence in dermatology therapy and increase the market share in the covered market from 2.8 percent to 4.6 percent. Post deal completion, derma therapy’s contribution to Eris’ revenue will increase from 7.6 percent to 12.7 percent,” analysts had said in January.
Ahmedabad based Torrent Pharma had acquired cosmetic dermatology player Curatio Healthcare having operations in India, Nepal, Srilanka & Philippines for Rs 2,000 crore last September.
Subscribe to Business Standard Premium
Exclusive Stories, Curated Newsletters, 26 years of Archives, E-paper, and more!
Insightful news, sharp views, newsletters, e-paper, and more! Unlock incisive commentary only on Business Standard.
Download the Business Standard App for latest Business News and Market News .
First Published: Thu, March 16 2023. 23:12 IST
RECOMMENDED FOR YOU