Recipharm has taken a step further in its development and growth in the Indian market by acquiring the remaining shares in Nitin Lifesciences.
India
The companies have reached an agreement for the transfer of the remaining 26% of shares to be acquired with INR 2,800 million on a cash and debt free basis whereof INR 600 million will be paid in newly issued Recipharm shares (RECI-B).
“I have been particularly pleased with the way the performance in Nitin Lifesciences has developed since it became part of the Recipharm Group,” stated Thomas Eldered, CEO of Recipharm. “Both sales and margins have grown in the business despite the recent macro-economic volatility in India and we foresee this favourable development to continue. The transaction will allow us to combine and better exploit operational synergies with our other Indian business.”
The shares will be acquired from the Sobti family who were the founding members of Nitin Lifesciences.
“The equity investment will align interests of the Sobti family. As such, I have great pleasure in announcing that current chief executives and members of the founding family Dr Chetan Sobti and Mr Nitin Sobti shall not only continue to spearhead the current business but also in addition take on the responsibility to develop and grow Recipharm’s total business in the Indian and emerging markets,” Eldered added.
