Bengaluru, Jan 29 (IANS) Drug maker Strides Pharma Science Ltd on Tuesday said its Canadian subsidiary acquired 80 per cent equity stake in Canada-based generics frim Pharamapar for $3 million (Rs 21 crore).
"The acquisition will enable us to build our operations, as the pharmaceutical market in Canada is estimated to be $21 billion with a major share of generics through retail pharmacies," said the city-based Strides in a statement here.
The two-decades old $8-million Pharmapar specialises in generic medication to insured individuals in Canada. It is also a leading partner to Quebec pharmacies and covers about 1,000 pharmacies with access to 12 banners and 100 products.
"Post-acquisition, the company will get a headstart in the Quebec private market with an established front end and distribution network," said the statement.
Quebec accounts for 25 per cent of the Canadian generics market and is private.
"We will fast track growth in the region through portfolio expansion driven by its fungible portfolio built in the markets of US, Europe and Australia,a said the statement.
In a related development, the company's board has approved sale of its Australian business Strides Pharma Global to the Arrow-Apotex merged entity for Australian dollar 394 million ($281 million or Rs 20 crore).
"We will enter into a 10-year preferred supply agreement with the merged entity to result in potential annual Ebitda of Australian $15-20 million," said the company in a release.
The business is ranked amongst top 3 generic firms in Australia as a result of Arrow's organic growth coupled with bolt-on acquisitions for portfolio.
The company re-entered the Australian market in September 2015 as Arrow through the acquisition of generics portfolio from Aspen Pharmacare Holdings Ltd (Aspen).
The business is ranked amongst top 3 generic firms in Australia as a result of Arrow's organic growth coupled with bolt-on acquisitions for portfolio.
In May 2018, Arrow and Apotex Inc. (Apotex) announced their intention to merge their businesses in Australia to become the largest player in the local generic pharmaceutical market both by volume and revenue.
For the third quarter of this fiscal 2018-19, the company's consolidated global revenue grew 6 per cent year-on-year (YoY) to Rs 798 crore from 753 crore in the same period a year ago 8 per cent sequentially from Rs 738 crore.
The company reported Rs 31 crore net profit for fiscal 2018-19 in the quarter under review but did not give its growth on annual or quarterly numbers to compare.
(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)
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