Lupin acquires Japan''s Kyowa Pharmaceutical
10 Oct 2007
With sales of ¥7.4 billion (Rs244.2 crore) for the year ended March 2007, Kyowa develops, manufactures and markets a range of generics in Japan and has a rich product portfolio in the psychiatry and neurological therapeutic categories as well as in cardiovascular, respiratory and allergies and digestive system.
Almost all nationwide wholesalers distribute Kyowa products to hospitals, medical practitioners and pharmacies making its products widely available and used all over Japan. Kyowa has created a strong brand identity in Japan''s generics market through its registered brand "AMEL", recognized and respected as a synonym for quality generics.
Headquartered in Osaka, the promoters, the Sugiura family, have built the business to its current stage. Kyowa''s manufacturing facilities are located in Sanda City, Hyogo Prefecture and the company has its own research centre, which employs 40 researchers. The development work for products as well as the Regulatory process is handled in-house.
A part of Lupin''s growth has been fuelled by acquisitions. In 1988, it acquired the generic business of Boehringer Manheim, which expanded its psychiatric product specialisation. This was followed by the acquisition of the Ospolot business from Bayer, the sales business of Uji Pharmaceutical Co. Ltd. and the sales rights to all prescription drugs of MG Pharma Inc.
"This is a very significant part of our strategy to tap leading global markets and establishes a beachhead in the second largest pharmaceutical market in the world," said Dr Desh Bandhu Gupta, chairman, Lupin.
"Kyowa
has major strengths in product development, manufacturing and marketing of its
products nationwide. Lupin will be able to add significant value through its strengths
in R&D and global marketing, leading to major synergies. This acquisition
is a signal of our long-term commitment to the Japanese healthcare market."