Recipharm To Acquire Shares in Injectables Company for $44 Million
Recipharm, a Jordbro, Sweden-based contract development and manufacturing organization, has agreed to acquire the remaining 26% shares of Nitin Lifesciences, an Indian sterile injectables contract manufacturing organization, making it wholly owned by Recipharm.
In April 2016, Recipharm completed its acquisition of a 74% stake in Nittin for SEK 824 million ($102 million). For the remaining 26% stake in Nitin, Recipharma has agreed to pay SEK 351 million ($42 million) on a cash and debt-free basis, of which SEK 75 million ($9 million) will be paid in newly issued Recipharm shares. The acquisition is being completed in two steps. The cash part has already occurred, and the part paid in Recipharm shares will come later during the first half of 2018.
The move adds to Recipharm’s global position in sterile injectables, including lyophilization. Headquartered at Karnal in Northern India, Nitin has three facilities for manufacturing small-volume parenterals located at Karnal (Haryana) and at Paonta Sahib (Himachal Pradesh). The newest facility in Paonta Sahib was taken into operations in 2014. The company specializes in manufacturing liquid ampuls, liquid vials, sterile dry powder (beta lactam and non-beta lactam), multidose eye/ear drops and lyophilized vials covering more than 200 formulations across various therapeutic areas.