Matrix Laboratories hikes stake in China's Mchem to 97 per cent

25 Jan 2008

Mumbai: Drug manufacturer Matrix Laboratories has increased its stake in China-based Mchem group of companies to 97 per cent, the company said in a communique to the Bombay Stock Exchange.

The acquisition would help the US generic drugs major Mylan Laboratories, which holds a majority stake in Matrix, to strengthen its control in the Chinese company.
 
Mylan Laboratories had acquired 51 per cent stake in Hyderabad-based Matrix Laboratories for $736 million and through Matrix, it had acquired the stake in Mchem, manufacturer of number of intermediaries and active pharmaceutical ingredients.

The acquisition of the residual stake of erstwhile promoter is strategic for enhancing the vertical integration opportunities for Mylan and Matrix, it added.