19 April 2007
Cadila Healthcare said the deal would help it gain an entry into the $3 billion Japanese generics market space.
The company is acquiring a 100-per cent stake in the privately held Japanese company. Cadila, however, did not reveal the financial aspects of the deal.
>Cadila has already established a unit named Zydus Pharma Inc in Japan.
>"The acquisition will provide critical access to a ready manufacturing and marketing base as well as a strong distribution reach. Nippon reaches out countrywide to more than 4,000 hospitals and clinics. This is expected to provide a fillip to the group''s operations in a market that is highly complex and dominated by local pharma companies," Cadila Healthcare said in a statement.
Zydus Cadila has recently acquired Mumbai-based Liva Healthcare, a mid-sized Indian pharma company with a derma focussed product portfolio. The group has acquired a 97.5-per cent stake in the privately held company. The all-cash transaction is being funded through cash accruals and debt.
With this strategic acquisition, Zydus Cadila will establish its presence in the Rs1,500 crore derma segment which is the seventh largest therapeutic segment in the Indian pharma market.
