India’s Lupin to sell injectable products business in Japan to UAE’s Neopharma
NEW DELHI, NNA - Major Indian pharmaceutical firm Lupin Ltd. is set to sell its injectable products business in Japan to neo ALA Co., a wholly owned subsidiary of the United Arab Emirates-based Neopharma group.
Lupin said Thursday it has agreed on the sale of all the issued and outstanding share capital of Kyowa Criticare Co. via Kyowa Pharmaceutical Industry Co., its Japanese subsidiary, to the UAE company.
The transaction does not affect the other operations of Kyowa Pharmaceutical, which engages in generic drug research, manufacturing and sales, according to Lupin’s statement. The value of the deal was not disclosed.
Kyowa Criticare’s plant and associated facilities are based in Atsugi, Kanagawa Prefecture, southwest of Tokyo, for contract manufacturing of injectable products, the statement said.
“The divestiture of our injectables business in Japan is a step towards streamlining our Japan operations and bringing sharper focus on building a hybrid (Brand/generics) pharma model in Japan,” Fabrice Egros, president of Lupin APAC (Asia-Pacific), said in the statement.
In 2007, Lupin bought a majority stake in Kyowa Pharmaceutical. Kyowa Criticare is its affiliate.
Suresh Nandiraju, chief operating officer of Neopharma, said the deal will strengthen its product offerings in Japan, one of the focal markets for the UAE group.
Japan contributed 13 percent to Lupin's global revenues in the year to March this year, with Kyowa Pharmaceutical and Kyowa Criticare collectively generating 33.9 billion yen ($318 million) in revenues, down 4 percent from the previous year, according to the Mumbai-based firm.