RFCL buys Alved Pharma

RFCL, a former Ranbaxy group-promoted specialty chemicals company which was acquired by ICICI Venture, has bought Chennai-based Alved Pharma & Foods, a three"�decade-old manufacturer of animal health products.

Alved is a market leader in south India with institutional sales and exports to West Asia and African countries.

The company expects its sales revenues to touch Rs 18 crore in 2007-08. Sources said the transaction is valued at Rs 20-30 crore.

Vetnex, the veterinary business division of RFCL, is valued at Rs 90 crore. The combined entity will have a turnover of over Rs 105 crore to become one of the top three players in animal health business in India.

"We see significant upsides arising out of the synergies between Vetnex and Alved, which will augment the projected growth at a CAGR of 20 per cent for the next 4-5 years," said Sushil Mehta, managing director, RFCL.

He said the strengths of Alved will be synergized with RFCL's integrated R&D and its newly built manufacturing facility at Haridwar and the proposed manufacturing unit at Irunkattukottai, near Chennai.

The acquisition will also add another 60 professionals to Vetnex team.