Glenmark Pharmaceuticals acquires Bouwer Bartlett, South Africa

26 December 2005

Glenmark Pharmaceuticals SA (GPSA), wholly owned Swiss subsidiary of Glenmark Pharmaceuticals Ltd (March 2005 sales turnover: Rs536.43 crore) has acquired Bouwer Bartlett Pty Ltd (Bouwer Bartlett), a South African sales and marketing company. The financial terms of the acquisition have not been announced.

According to Glenn Saldanha, managing director and CEO, Glenmark Pharmaceuticals, "The purchase of Bouwer Bartlett is part of our long-term strategy to emerge as a speciality / brand company marketing novel drugs, by acquiring front-ends in key markets outside the US, the EU and Japan."

This acquisition provides Glenmark, a mid-size formulations and API manufacturer, a strategic entry point into the market of South Africa, one of the largest and fastest growing pharmaceutical markets in Africa and consolidate its presence in Africa where it already has a presence in 30 of the 54 markets.

The Indian company currently has a basket of 22 products, while Bouwer Bartlett has a major presence in the dermatology segment and a significant marketing force. The South African operations are expected to close at $3.1 million with an EBITDA of $600,000 in the calendar year 2006.

Glenmark established a representative office in South Africa in 2003, in addition to its three other offices in Ghana, Kenya and Nigeria.

Its solid dosage formulations plant in Goa, India was recently inspected by and received cGMP approval from the Medicine Control Council, South Africa. This approval will assist it to rapidly file additional generics and add to the pipeline in South Africa.