Pharmaceutical company Unichem Laboratories has acquired a 19.99 per cent stake each in Optimus Drugs Pvt Ltd and Optrix Laboratories Pvt Ltd for a total consideration of about $16.5 million (Rs 120 crore), said an announcement.
Hyderabad-based Optimus and Optrix, owned and controlled by the same management, are engaged in the business of researching, developing, manufacturing, marketing and distribution of active pharmaceutical ingredients (API) and intermediates.
As part of the transaction, Unichem has bought shares worth Rs 72.08 crore in Optimus while shares worth Rs 47.92 crore in Optrix.
The key objective of the investment is to gain access to the manufacturing facilities of Optimus and Optrix. The company is facing a shortage of API and intermediates manufacturing capacity. This investment will provide the company with additional capacity to meet its immediate requirements and fulfil its export orders, Unichem said in a BSE filing.
Optimus, founded by D Srinivas Reddy in 2004, had a total income of Rs 198.86 crore while Optimus recorded total income of Rs 173.38 crore in fiscal year 2017-18.
Headquartered in Mumbai, Unichem is known for its speciality pharmaceuticals business, with manufacturing facilities spread across Roha, Goa, Baddi, Pithampur, Ghaziabad, and Sikkim. The company posted total income of Rs 732.22 crore in FY 18 against Rs 1,410.6 crore in FY 17.
The Indian API sector has been abuzz with deal activity since past months.
In October, Dr. Reddy’s Laboratories Ltd announced that it had entered into a definitive agreement for the sale of its API manufacturing business unit located in Jeedimetla, Hyderabad, to Therapiva Private Ltd, a generics pharmaceutical company.
A month earlier, Italy’s Olon announced the acquisition of a local generics chemical operations API manufacturing facility in Mahad, India, as part of a continuing expansion of its global footprint. In August, Glenmark Pharmaceuticals hived off its API into a wholly owned subsidiary, Glenmark Life Sciences.