Cadila Healthcare, a part of Zydus Group, on Friday said its US-based unit has entered into an agreement to acquire the assets of Nesher Pharmaceutical Inc for an undisclosed amount.
“Zydus Pharmaceuticals USA Inc through its subsidiary Zynesher Pharmaceuticals USA LLC has entered into an agreement to acquire the assets of US-based pharmaceutical company Nesher Pharmaceuticals Inc,” Cadila Healthcare said in a filing to the Bombay Stock exchange (BSE).
The purchase agreement includes assets and assumption of certain liabilities of Nesher, its existing and abbreviated new drug application pipeline, certain manufacturing units and a research development lab, it said.
“With this Zydus will be able to manufacture and distribute generic controlled substances in the American market, which otherwise cannot be imported,” it said.
The agreement also encompasses supply and technical services agreements by which certain products of KV Pharmaceuticals will be manufactured by Zynesher Pharmaceuticals, the company said.
Nesher Pharmaceutical Inc is the subsidiary of US-based KV Pharmaceuticals and has expertise in niche therapies such as controlled release medications.
“We have always looked at value accruing opportunities and we believe that this new development gives us access to a difficult to develop product pipeline, expertise and infrastructure that will add value to our operations in the US,” Zydus Cadila CMD Mr Pankaj R Patel said.
According to the company estimates, the market for the controlled substances medications in the US is estimated at $ 7 billion.
Scrips of Cadila Healthcare on Friday closed at Rs 900 on BSE, down 1.43 per cent from its previous close.