Dabur secures $8 million loan for UK unit
20 Aug 1999
Dabur India Ltd has taken a $8 million loan from ABN Amro to finance its anti-cancer facility in the UK. The loans will be used by Axol Laboratories, Dabur''s Pharmaceuticals’ UK subsidiary, set up to manufacture and market anti-cancer drugs for European countries. Dabur Pharmaceuticals Ltd is a division of the Rs 915-crore Dabur India.
The loan, arranged with ABN Amro India, will be remitted directly to Axol by its ABN''s UK affiliate. Sources say that Axol is finalising acquisition of land and building in the UK. The unit is expected to be ready by the end of the current financial year, and operations are scheduled to commence in April 2001.
Dabur has created Axol with a view to expanding its oncology business to developed markets of Europe and US. The company is planning similar ventures in Russia and in African countries.
Axol Laboratories will sell Dabur’s existing product range being marketed in India, plus new products to be developed exclusively for overseas markets.
On the domestic front, the company is planning to strengthen its oncology segment by launching two more anti-cancer products in September 1999.