Claris in JV with Japan's Otsuka Pharma & Mitsui for infusion business

Last Updated: Fri, Dec 07, 2012 21:00 hrs

pAhmedabad-based injectables player Claris Lifesciences on Friday said that it has entered into a joint venture with Japans Otsuka Pharmaceutical Factory Inc and Mitsui & Co Ltd for its infusion business in India and emerging markets The business is valued at Rs 1313 crore and Claris would receive total cash consideration of Rs 1050 crore over multiple agreements the company informed to the Bombay Stock Exchange BSEppThe JV will include the common solutions anti-infectives plasma volume expanders and parenteral nutrition therapies of Claris for India and the emerging markets Historically these businesses have accounted for around 55 per cent of Claris business The company will now transfer the above mentioned business to the Claris-Otsuka JVppClaris would hold a 20 per cent stake in the joint venture while Otsuka will hold 60 per cent and the remaining 20 per cent will be with Mitsui Two out of five plants will be transferred to Claris-Otsuka the company statement mentionedppArjun Handa managing director and CEO of Claris will be the chairman of the Claris-Otsuka JV and will also appoint the CEO of Claris-OtsukappClaris-Otsuka will co-brand its products in India and across emerging markets utilising the manufacturing and marketing backup of the ClarisppAlso Claris-Otsuka would work on expanding the product basket with speciality infusion and clinical nutrition productsppHanda said that Ostuka with its global expertise in infusions business and Mitsui with its global trading and financial expertise would add significant value to the joint ventureppAs for Claris the company said in a statement to the BSE that it would remain focussed on its speciality generic injectables business Company shall intensify its growth in all international markets especially the regulated markets of USA and EU via new product launches the statement read Moreover Claris will work on growth opportunities both via the organic and inorganic routeppAs Handa put it "The partnership enables Claris to focus and intensify its efforts to build out its speciality injectables business globally Globally injectable products are in shortage and pure-play injectables companies are a rarity" Claris Lifesciences shares ended days trade down 375 per cent at Rs 26455 on the Bombay Stock Exchangep

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