JB Pharma acquires four brands from Dr Reddys Laboratories

30 Jun 2022 , 11:08 AM

JB Pharma has entered into an agreement with Dr. Reddys Laboratories to acquire four of its brands Z&D, Pedicloryl, Pecef and Ezinapi for the India market. All four brands are focused on the paediatric segment in the country with a total covered market size of Rs 1800 crore as per IQVIA data. The combined sales of these brands as per internal estimates were approximately Rs 33 crore for FY 2021-22. The acquisition has been done for a cash consideration of Rs 98.3 crore. The acquisition shall be funded primarily through long-term debt. Offering the rationale for the said acquisition, JB Pharma said that it sees good growth potential from the acquired brands as they are synergistic with its paediatric segment and will help it significantly leverage its field force strength. J.B. Chemicals & Pharmaceuticals is one of the fastest-growing pharmaceutical companies in India and a leading player in the hypertension segment. Besides its strong India presence, which accounts for the majority of its revenue, its other two home markets are Russia and South Africa. The company reported a 15.66% decline in consolidated net profit to Rs 84.85 crore despite an 18.19% rise in sales to Rs 624.59 crore in Q4 FY22 over Q4 FY21. The scrip rose 0.10% to currently trade at Rs 1556.95 on the BSE. Powered by Capital Market – Live News