Wockhardt acquires US-based Morton Grove

Written by Agencies | Mumbai, October 24: | Updated: Oct 24 2007, 16:39pm hrs
Pharmaceutical major Wockhardt Ltd on Wednesday said it has acquired Morton Grove Pharmaceuticals, a liquid generic and specialty dermatology company in the US with sales revenue of USD 52 million.

The acquisition would boost the company's US revenue by providing a complete range of dosage forms right from tablets, capsules, liquids to injectables, Wockhardt said in a communique to the Bombay Stock Exchange.

"Morton Grove is strategic to Wockhardt. It provides entry into the US generic market with a portfolio of 31 products, 13 of which occupy the No.1 market position. All others are in the Top 3. This represents a clear demonstrable strength in sales and marketing," Wockhardt Ltd Chairman Habil Khorakiwala said.

Pursuant to the acquisition the overall product range of the company would rise to around 54 products for the US market, of which 23 products are currently being marketed by Wockhardt USA.

"Wockhardt now has a strong position in the liquid market in the US and the UK," Khorakiwala added.

This is the company's third international buyout in the last 12 months. Last year in October, the company had acquired Pinewood, the largest generic firm in Ireland and the biggest supplier of liquid generic products in the UK. Wockhardt had also bought Negma, the fourth largest independent pharmaceutical firm in France in May.

These acquisitions in Europe propelled the company into becoming the largest India pharmaceutical company in Europe, Wockhardt said.

Shearman & Sterling acted as the company's external legal counsel; ABN AMRO Incorporated represented Morton Grove Pharmaceuticals in the transaction and Kirkland & Ellis acted as Morton Grove's legal counsel.