NEW DELHI, Dec 25:
After selling its branded formulation business, Elder Pharma plans to focus on its anti-infectives’ vertical and strengthen in-licence portfolio besides looking at expanding presence in global markets.
“Post the deal with Torrent Pharma, Elder plans to concentrate and build on its domestic business of anti-infectives, strengthen its in-licence portfolio and grow its business in the UK and Europe,” Elder Pharmaceuticals CMD Alok Saxena told reporters.
At the same time, the company would explore the possibility of entering new therapeutics areas, he added.
Earlier this month, the Mumbai-based firm had announced to sell its branded formulation business, comprising 30 brands, to Torrent Pharmaceuticals for Rs 2,004 crore.
The deal, which has been approved by the boards of both companies, is expected to close in the first half of 2014.
Elaborating on the post deal strategy for the company, Saxena said Elder Pharma would strengthen its in-licence portfolio and increase its presence in the central nervous system (CNS) and cardiovascular system segments.
The company now plans to concentrate its efforts in increasing the presence in the injectables and anti-infectives’ segments, and as a result of its efforts expects to nearly triple the turnover of its retained business in the next three years, he added.
“Given the strategy to focus on key brands and areas, and to re-structure and re-strategise the brands and people, Elder Pharma would easily increase its revenues and profitability,” Saxena said.
The company also intends to increase its presence in the UK and Europe through its wholly owned subsidiaries, NeutraHealth PLC and Elder Biomeda EAD, he added.
Elder Pharma owns 100 per cent stake in NeutraHealth, UK, and Biomeda, Bulgaria. (PTI)
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