Unichem expands API capacity through acquisition

The drugmaker has signed agreements to acquire two businesses of Optimus group. With this deal, Unichem will get access to Optimus' USFDA approved manufacturing units.

Unichem Laboratories acquired a stake of 20 per cent each in Optimus Drugs Private Limited and Optrix Laboratories Private Limited. These companies are based in Hyderabad and are engaged in the business of R&D and manufacturing API and intermediates. The cost of acquisition is approximately Rs. 120 crore.

Unichem faces a shortage of manufacturing capacity for API and intermediates. This deal will provide the company with immediate access to additional capacity to fulfil export orders.  On the other hand, Optimus will gain access to Unichem's technical expertise. 

Optimus reported a consolidated turnover was Rs. 265.62 crore in 2016; Rs. 321.47 crore in 2017 and Rs. 198.66 crore in 2018. While Optrix's consolidated turnover was Rs. 54.46 crore in 2016; Rs. 109.97 crore in 2017 and Rs. 172.58 crore in 2018.

Meanwhile, at 12:17 hours, the stock of Unichem Rs. 216.00 per share, up by 0.84 per cent, when the BSE Sensex was at 35,112.35, up by 161.43 points or 0.46 per cent on Tuesday.