Elder Pharma rallies 5% on Max Healthcare acquisition

NEW DELHI: Elder Pharmaceuticals Ltd rallied 5 per cent in morning trade on Tuesday, after the pharma major said that its UK arm NutraHealth Ltd has acquired West Yorkshire-based firm Max Healthcare Ltd to re-enter over-the-counter pharmaceutical business for an undisclosed amount.


At 10:00 a.m.; Elder Pharma was trading 4.3 per cent higher at Rs 348.75. It had hit a low of Rs 337.55 and a high of Rs 350.90 in trade today.

“Max Healthcare is an OTC business, which owns a range of marketing authorisations and provides own label and branded OTC medicines and products to a broad range of customers," Elder Pharmaceuticals said in a filing to BSE.

The acquisition will help in extending and enhancing the company's OTC product range, it added.

Elder Pharma clarified that Max Healthcare will be a subsidiary of NutraHealth Ltd and will be managed in parallel with its subsidiary Brunel Healthcare Manufacturing Ltd.

“Max Healthcare is predominantly an outsourced operation with most of its manufacturing taking place in India,” PTI reported.