Strides Acrolab buys injectable facility for Rs 125 crore

BANGALORE: Strides Arcolab's wholly owned subsidiary Agila Specialities acquired Sterile Formulations facility located at Hosur from Star Drugs and Research Labs. 'The consideration for the facility is approximately Rs 125 crore and is being funded from cash in hand and internal accruals," stated the press-statement.

The acquisition by Bangalore-based pharmaceutical firm Strides Arcolab was to expand core injectable business

"This timely acquisition brings into our fold, an asset which is of immediate importance given the demand for Sterile injectables worldwide" said Arun Kumar, Group CEO of Strides Arcolab. The buy will give the Bangalore-based firm market advantage to set up and commercialise a Greenfield project that can take anywhere between 4-5 years.

profitIt will start shipping products from the Hosur facility from third quarter of the news fiscal. The firm posted a consolidated net profit of Rs 642.07 crore compared to the net profit of Rs 40.70 crore posted in the same period last quarter. Total revenue for the company stood at Rs 539.59 crore, an increase of 8.50%.