Bangalore-based pharmaceutical company Strides Arcolab Ltd has struck a deal to acquire a bunch of brands from Johnson & Johnson (J&J) besides inking a separate agreement to buy a majority stake in domestic branded business of Shriram Group’s pharma company Medispan Ltd.
It did not disclose the deal values but shared that acquired portfolios can generate sales of Rs 32 crore in the year ending March 31, 2016.
The deal with global healthcare products major J&J involves acquisition of seven of its brands in dermatology, antiemetic and pain management segments. This includes Otogesic eardrops, Ehnorub ointment and Stugil tablets.
Through the separate deal with Medispan, Strides Arcolab will gain entry into the probiotics segment with brands such as Lactovit and Lactogut. In this transaction, the business would be transferred into a special purpose vehicle Strides Biologix Pvt Ltd, in which Strides would own 51 per cent stake.
The company did not say if Shriram Group will own the remaining 49 per cent stake or a separate strategic or financial partner will own the rest.
Strides has been actively pursuing inorganic growth strategy, especially in the last two years. This year itself it has struck two other acquisitions.
In May, Strides Arcolab signed a deal to acquire South African drugmaker Aspen Pharmacare’s generic pharmaceutical business in Australia together with certain branded pharma assets. Last month, it also inked a deal to buy erstwhile Ranbaxy’s marketing divisions Solus and Solus Care that are operating in the central nervous system (CNS) segment in India from India’s top drugmaker Sun Pharmaceutical Industries Ltd for Rs 165 crore.
Last year, it struck three deals including two in India. The company made a strategic investment in Oncobiologics Inc and also bought a majority stake in branded generics business of Chennai-based Bafna Pharmaceutical and announced an all-stock deal to buy Shasun Pharma.