Opto Circuits India Ltd, a Bangalore-based healthcare equipment and interventional products maker, has acquired Kolkata-based N S Remedies Ltd for $1.5 million (about Rs 6.7 crore). The company has made an all-cash transaction to buy the firm, it said in a statement. The investment is funded through internal accruals.
N S Remedies is engaged in stent manufacturing and research & development (R&D) activities.
Opto Circuits is a 100% export oriented unit (EOU) and is a leading manufacturer of healthcare equipment in India. It says the acquisition will help it to manufacture stents, and will reduce dependency on external agencies. It will also strengthen its capability from designing cardiac stents to manufacturing them, filling in related process along the value chain.
“This backward integration was essential to enhance the value of the products offered by us in the interventional cardiac space. The acquisition will also reduce the manufacturing costs, and help access additional markets,” Vinod Ramnani, chairman and managing director, Opto Circuits India, said in the statement.
The shares of the company were traded at Rs 218.50, up by Rs 1.65 or 0.76% at 2:40 pm in the BSE today. At current prices, the company has a market capitalisation of Rs 4,004.60 crore.
Opto Circuits has a manufacturing & R&D facility at Electronics City in Bangalore. It earlier acquired a firm called Criticare Systems, Inc, a non-invasive medical devices manufacturer in the US in 2008. Prior to that, it had acquired EuroCOR GmbH in Germany and Palco Labs in USA.