Unichem Labs in talks to acquire full stake in UK arm

The Rs 618 crore Unichem Laboratories is looking at increasing its stake in the UK-based subsidiary Niche Generics from 60 per cent to 100 per cent.

The company is in the final stage of negotiations with independent directors of Niche Generics, who hold the remaining 40 per cent stake.

The valuation is being worked out and the deal is likely to go through in the next few months, said a company source. Unichem had acquired 60 per cent in Niche Generics in April 2002.

The company now makes formulations for sale in Europe and has a manufacturing plant at Ireland. The company posted a sales of around £15m during the last financial year.

Following the complete buyout, Unichem will have more than 100 products, already approved by the European regulators, in its global product portfolio.

In addition, the company will look at more generic products that are going off-patent in the next few years, to be introduced in the European market through Niche Generics.

Unichem is also planning to expand its product portfolio in the domestic market. For, this the company is exploring avenues of new combinations, brand extensions in existing therapeutic areas and also new segments.

As part of the brand extension, the company has recently launched Loram, a combination of losartan and ramipril for the treatment of hypertension in diabetic patients. The company today announced the results of its post marketing surveillance"" phase 4 trial"" of the combination drug.

According to the results, the drug showed a fall in blood pressure in a diabetic patient with significant reduction in proteinuria"" an indicator of kidney damage in diabetic hypertensive patients.

The trials also showed good tolerability and efficacy. The results are now very relevant as the diabetic is frequently associated with hypertension and the most common complication in such patient is damage to the kidney which can progress to renal failure, if not adequately treated.