Wockhardt to buy France's Negma Lerads for $265 mln

New Delhi, May 3 (UNI) Drug maker Wockhardt Ltd today said it will acquire France's Negma Lerads in an all-cash deal worth 265 million dollars.

The transaction is valued at 1.8 times the sales and 9.7 times the EBITDA.

With this, the company becomes the largest Indian pharma company in Europe with more than 1,500 employees based in the continent.

'' Negma is a research-based pharmaceutical company with 172 patents. This acquisition will allow Wockhardt to extend this patented portfolio to other European markets where Wockhardt enjoys a strong presence,'' said the company's Chairman Habil Khorakiwala.

It will also provide the company the right entry vehicle to enter the French generics market valued at two billion dollars, leveraging Wockhardt's robust EU portfolio and impressive pipeline, he said.

Wockhardt will enjoy a pan-European presence, covering all the key markets of Europe namely Germany, the UK, Ireland and now France.

Post-acquisition, the company's European business will account for more than 60 per cent of its total revenues.

The company presently has a portfolio of 130 products in the European market. In the next one year, the company will see the launch of 24 more products in Europe.

Negma is Wockhardt's third acquisition in less than 12 months.

Earlier the company acquired Pinewood with sales worth 70 million dollars and Dumex with sales of Rs 60 crore.

This is also the fifth acquisition of the company in Europe after Wallis, CP Pharmaceuticals (both in the UK), Esparma in Germany and Pinewood Laboratories in Ireland.

The company will now have four manufacturing facilities in Europe having API (bulk drug), injectables, tablets, capsules and creams.

UNI