Toyota Tsusho invests in Indian pharmaceutical distributor Skites
TOKYO, NNA - Japanese trading house Toyota Tsusho Corp. has invested in Indian pharmaceutical distributor Skites Pharma Pvt. Ltd. to improve the efficiency of pharmaceutical product distribution in the local market.
Toyota Tsusho said last Friday the trading arm of the Toyota Motor Corp. group completed the necessary procedures on March 26 for the capital tie-up with Mumbai-based Skites. It did not disclose how much the investment cost or how much equity stake the company acquired.
Established in 2017, Skites has its own warehouses, IT infrastructure and cold chain facilities while providing 22,000 different kinds of pharmaceutical and healthcare products to hospitals and pharmacies.
The partnership is aimed to promote joint efforts for "consolidation and improving the efficiency" of the distribution of pharmaceutical products for their "timely delivery" to hospitals and pharmacies, Toyota Tsusho said in a press release.
The latest move came after Toyota Tsusho entered into the hospital operation business by opening a general hospital in Bangalore in 2014 jointly with Secom Medical System Ltd., a medical services subsidiary of Japanese security firm Secom Co.
Toyota Tsusho hopes to take full advantage of the know-how on drug use the company has gained through running the hospital.
India is the world's 11th largest pharmaceutical market, but many of the country's more than 65,000 distributors are small and midsized family-owned enterprises with limited inventories forcing complex inventory management, according to Toyota Tsusho. (NNA/Kyodo)