Temasek-backed Intas Pharma expands into Spanish healthcare

Brand image from the company website

Intas Pharmaceuticals, an Ahmedabad-based pharmaceuticals conglomerate partially owned by Temasek Holdings, has acquired the hospital business unit of Spanish generic drug manufacturer Combino Pharm via its subsidiary Accord Healthcare SLU. These include assets – inclusive of hospitals – in Spain and Portugal.

Temasek Holding’s acquired a 10.16 per cent stake in Intas in November 2014, providing ChrysCapital III LLC group a partial exit. According to VCCircle, from 2013, Intas sought to raise funds via an IPO but let the approval for the IPO lapse due to Temasek’s acquisition. It had planned for an IPO in 2011 but withdrew this plan as well, due to shifting market conditions.

According to LiveMintthe acquisition by Temasek was valued at $140.78 million, placing Intas’s market capitalisation at $1.4 billion.Intas made for a healthy acquisition, growing at compounded annual growth rate of 28 per cent since 2009 and with more than half of its revenue derived form international sales of its pharmaceutical products.

Other details of the deal remain undisclosed.

However, this acquisition, once completed, positions Intas as the second largest hospital generic player in the Spanish market. This buoys prospects for Intas in the face of the Spanish economic recovery after the Global Financial Collapse of 2008. The country has recovered faster than neighbouring Mediterranean economies.

The hospital unit that’s been acquired has access to 80 per cent of the hospitals in the region. Combino Pharm, was founded in 1996 and is part of the larger Medichem Corporation, a Spanish family-owned corporation with operations in Spain, Malta and China.

Intas’s Spanish subsidiary supplies oncology drugs to hospitals. This acquisition expands its offerings, with anti-infective and critical care drugs being added to the portfolio, with a combined turnover, projected at 30 million euros ($31.9 million). The acquisition will also leverage upon Intas Pharma’s core competencies of development, manufacture and marketing of pharmaceutical formulations, which has a global reach of 70 countries.

Binish Chudgar, vice-chairman and managing director of Intas, said, “By means of this acquisition, Accord obtains certain rights over Combino’s Hospital portfolio in a number of European and non-European countries. The acquisition offers lot of synergies to Accord s already existing sizeable business in Spain and further strengthens and expand its operations in Spain and Portugal with a broader and more robust portfolio of products.”

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In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

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