Richter expands into Mexico with DNA Pharmaceuticals acquisition
Just days after announcing expansion in Brazil via acquisition of a 51% share in its marketing partner Next Pharma, Hungary-based pharmaceutical producer Gedeon Richter today revealed the completion of a deal in Mexico: The big pharma has acquired a 70% stake in Mexico-based marketing partner DNA Pharmaceuticals SA.
Terms of the deal were not disclosed, though it is has been established that, as in the prior recent acquisition, the brand will be extended with a renaming: The company will soon be officially rechristened as Gedeon Richter Mexico S.A.P.I. de C.V.
In an official statement, Gedeon Richter conveyed its intent to buy the outstanding 30% by 2017; the agreement with Next Pharma allowed for the future acquisition of remaining shares in that company.
According to a Reuters report, Richter seeks to register female healthcare therapy products through DNA Pharmaceuticals, “focusing primarily on Esmya, Richter’s drug to treat uterine fibroids, and the establishment of a related sales network.”
Said Richter CEO Erik Bogsch in announcing the deal, “this cooperation with DNA is another strategic move aimed at the diversification of Richter’s geographic presence in Latin America, one of the regions with the fastest-growing pharmaceutical markets worldwide.”
For 2012, Gedeon Richter reported consolidated sales of approximately $1.5 billion and market capitalization of $3.1 billion.
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