Lupin completes acquisition of South Africa's Pharma Dynamics

Lupin has entered into an agreement to acquire the balance 40% equity stake in South African generics major, Pharma Dynamics (PD) from its founders. As per the agreement, the founders will exercise their put option before March 31, 2015, for the 40% equity stake it currently holds. On completion of this transaction, PD will become a wholly owned subsidiary of Lupin, subject to closing conditions.
 
In September 2008, Lupin acquired a strategic 60% equity stake in Pharma Dynamics – the Cape Town headquartered company involved in distribution of a range of branded, generic prescription medicines and over-the-counter (OTC) products in SA as well as other key markets across the African continent.
 
Today, PD is amongst the fastest growing top 20 pharmaceutical companies in South Africa and the third largest generic company in the SA prescriptions market. It is the biggest supplier of cardiovascular pharmaceuticals in SA by both value and volumes. Its products also address therapies such as central nervous system (CNS), gastrointestinal, diabetes and gynaecological and male health segments. In 2013, it also entered the SA anti-infective market, supplying IV antibiotics to hospitals. Its OTC products portfolio includes antihistamines, cold & flu medication and heartburn treatment.
 
Paul Anley, CEO, Pharma Dynamics, said, “Lupin has been an extremely strong partner in our business since 2008 and we have always had an excellent relationship. The fact that Lupin has increased its shareholding in Pharma Dynamics is a huge compliment and augers very well for our continued success.”
 
The acquisition represents significant foreign investment into SA and is a major vote of confidence in the business. It will add additional global muscle to Pharma Dynamics’ operations and support the next phase of growth for the company.
 
Vinita Gupta, CEO of Lupin Limited, said, “We are delighted with this development as Africa is fast emerging as one of the growth engines of the future.
 
Pharma Dynamics’s basket of products includes SA market leaders like Amloc (anti-hypertensive), Fedaloc (nifedipine), Bilocor (bisoprolol), Texa Allergy (cetirizine) and Lancap (lansoprazole).