Company has acquired a facility in Mehsana, Gujarat. Investment in Cephalosporin plant for Rs30cr including Croreicapacity expansion and modernisation of the facility. Acquisition and further capex will be funded from internal accruals.
Company expects commercial operations from March 2022. The plant is expected to contribute sales of around Rs150cr in the next 3 years. The plant will cater to all the Cephalosporin products i.e. Tablet, Capsule, Dry Syrup and Injectable.
The acquired facility in Mehsana, Gujarat has been designed as per the PIC's and European Region. Company is in the process of applying for WHO GMP Certifications for the facility and expects to receive the same by December 2021. Company is planning to manufacture 20 plus Cephalosporin products and is planning to start product registration soon for the domestic and exports market.
Cephalosporin is a bactericidal, broad-spectrum, and P-lactam antibiotic originally derived from fungus Acremonium, which is used to treat bacterial infections such as pneumonia, skin infections, ear infection, strep throat, staph infections, tonsillitis, bronchitis and others.
Company plans to manufacture 20 plus Cephalosporinproducts including Cefalexin Oral Suspension BP, Clavulanate Tablets, Cefixime Capsules, Cefuroxime Axetil Tablets among others.
Company also looks to export in African, Latin America and Southeast Asia markets and expand to other markets after necessary approvals.
At around 2:47 PM, Lincoln Pharmaceuticals was trading at Rs384.55 per piece up by Rs1.95 or 0.51% on Sensex.