New Delhi, NFAPost: Aurobindo announced the acquisition of domestic formulation business of Veritaz on a slump sale basis.
With this acquisition, Aurobindo is marked its 1st step to set its footprint in the Indian domestic market as announced earlier. The transaction is agreed at a consideration of Rs. 171 Cr on debt-free cash-free basis.
The transaction comes into effect from 1st April, 2022 and expected to close by May 2022. This acquisition vehicle will greatly help Aurobindo as a launch pad for marketing biosimilar and other products in India.
Veritaz is a 10+ years old company with an audited turnover of Rs 133 crore for the period of 9 months ended December ’21 and it had a turnover of Rs 127 crore for the full year FY 21. Its current product portfolio operates in an addressable market of Rs.26,775 crore which is an exciting space to gain market share and grow our business.
The company has around 40 brands across the acute and critical care segments. The total number of trademarks registered in its name is around 180. Its largest brands are Fepanil and Merogram group which clock a revenue of around Rs.31 Cr and Rs.20 Cr up to December 2021 respectively.
Currently the company caters to anti-infective and pain-management therapeutic areas and has a pipeline of products to enter into the Cardio/Diabetic and Ortho/Gynecology segments. The company has an existing sales and distribution network with 900 field force, covering more 50k retailers with nearly 1700 stockiest, presence in 23 cities, reaching out to more than 70000 doctors and empaneled with major hospitals.
Commenting on the development, Aurobindo Managing Director K Nithyananda Reddy said he is pleased to announce Aurobindo’s entry into the domestic market with this acquisition.
“With this acquisition we strongly believe that with Aurobindo’s ability to build a product portfolio, and with the existing and expanding distribution network of Veritaz we will be able to create a significant footprint in the domestic pharma market over the next few years,” said Aurobindo Managing Director K Nithyananda Reddy.
About Aurobindo Pharma:
Aurobindo Pharma Limited (www.aurobindo.com), (NSE: AUROPHARMA, BSE: 524804, Reuters: ARBN.NS, Bloomberg: ARBP IN) is an integrated global pharmaceutical company headquartered in Hyderabad, India.
The company develops, manufactures, and commercializes a wide range of generic pharmaceuticals, branded specialty pharmaceuticals and active pharmaceutical ingredients globally in over 155 countries.
The company has 27 manufacturing and packaging facilities that are approved by leading regulatory agencies including USFDA, UK MHRA, EDQM, Japan PMDA, WHO, Health Canada, South Africa MCC, Brazil ANVISA. The company’s robust product portfolio is spread over 7 major therapeutic/product areas encompassing CNS, Anti-Retroviral, CVS, Antibiotics, Gastroenterological, Anti-Diabetics and Anti-Allergic, supported by a strong R&D set-up.
