Biotec group, one of the leading Russian pharmaceutical companies, specializing on production, wholesale and retail distribution of pharmaceuticals, entered into the agreement for the sale of 85,1% of the share capital of JSC Biosintez (Russian pharmaceutical manufacturer with sales in Russia and CIS countries), with a wholly owned subsidiary of Sun Pharmaceutical Industries Ltd., world’s fifth largest specialty generic pharmaceutical company. The equity consideration for the 85.1% stake is RUB 1,526 billion. The transaction expected to be completed by the end of 2016.
Biosintez is a Russian pharmaceutical company focusing on the hospital segment with annual revenues of approximately RUB 3,2 billion for 2015. In 2014 complex modernization program was successfully accomplished at Biosintez. Today the company has production capacities for manufacturing of wide range of pharmaceutical products, including pharmaceuticals for injections, blood substitutes, blood preservatives, ampoules, tablets, ointment, creams, gels, suppositories, APIs, etc.
Sun Pharma is the world’s fifth largest specialty generic pharmaceutical company with annual revenues of approximately US$ 4.3 billion (for year ended 31-March 2016). The company markets its products to customers in over 150 countries serviced through 47 manufacturing facilities worldwide.
Commenting on the agreement, Boris Shpigel, Chairman, Biotec Group said “This would be an important project, essentially a breakthrough in the Russian pharmaceutical market. In particular, localization of manufacturing in Russia of the pharmaceutical products of a global specialty generic pharmaceutical company at Biosintez means new investments in the Russian pharmaceutical industry, offering a wide range of affordable products with the highest quality, available for people, and resultant savings in the government budget.”
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