Lupin, India’s third-largest pharmaceutical company by sales, entered into an agreement to acquire an additional 40% stake in South African generics drugmaker Pharma Dynamics for an undisclosed amount.
The Mumbai-based company had acquired a 60% stake in Pharma Dynamics in September 2008 and after acquiring the remaining equity, the South African firm will become Lupin’s wholly-owned subsidiary.
In a statement, Lupin said that the deal will allow it to “add additional global muscle to Pharma Dymanics’ operations and support the next phase of growth for the company”.
In accordance with the agreement struck in 2008, the founders of Pharma Dynamics opted to exercise their put option for the remaining 40% stake in the company before March 31.
Paul Anley, Pharma Dynamics’ current chief executive, will continue in his current capacity, Lupin’s chief executive Vinita Gupta said on Monday.
“We are delighted with this development as Africa is fast emerging as one of the growth engines of the future”, Gupta added.