Australian Pharma Company’s decision to invest 18 Million US $ may turn around Dr.Datson Labs business Restructuring plans
Australian Pharma Company’s decision to invest 18 Million US $ may turn around Dr.Datson Labs business Restructuring plans
Co-Marketing, Manufacturing & Contract Research agreement between Dr.Datsons & Australian Pharma Giant on oncology products may see wider reach of Dr Datson Labs product range in the australian market.
Indian Pharmaceutical & Contract Manufacturing major listed in Stock exchange Dr Datsons Labs may see a fresh business plans to strategize its marketing & manufacturing plans & infuse a great degree of confidence to its investors & stakeholders following a partnership & marketing agreement with a leading Australian Pharma company engaged in contract research & formulations. The size of the investment by the Australian firm to Dr. Datsons to an estimated investment of $18 in the oncology product range to widen the market reach of Australian Firm to cater to the growing oncology market potential. There are talks of a minority stake in Dr Datsons Labs including the nomination to the Dr Datson Labs Board Management. The Rs 2,000-crore Indian oncology market is expected to reach Rs 2,900 crore by end-2015. Similarly, in Australia, Dr Datsons Labs is growing its regulatory filings, which should translate into business in few quarters to come. Dr Datsons Labs is banking on 3-5 niche molecules, which are likely to contribute significantly, given the regulatory approvals are in place.
The partnership between the two companies come in the wake of Indian Prime Minister Narendra Modi’s recent visit to Australia & addressing the trade delegation to invest in india. It is also learnt that Dr. Datsons Labs was part of the Delegation & the breakthrough came after a series of negotiations & visit by both the companies in their manufacturing locations.
The Australian Pharma Major is likely to invest $18 million ( Approx 100 Crore) for a significant minority stake in Dr Datson’s Labs .Dr Datsons Labs (formerly known as Aanjaneya Lifecare Ltd.) is a Indian listed pharmaceutical company & is engaged in providing provides multi therapeutic product offerings comprising alkaloids, quinine salts, and veterinary active pharmaceutical ingredient and cytotoxic active pharmaceutical ingredient. Its products vertical include bulk drugs, finished dosage forms, herbal medicines, inhalers, lozenges, and products for animal health The company’s customers, which include large multinationals and generic pharma companies, use the APIs to manufacture treatments for inflammation, asthma, dermatology, immune functions, and infertility. Dr Datsons Labs has two manufacturing facilities in Pune & one in the Hyderabad acquired by the Company in Feb 2012 is an integrated APT and pharma intermediates. The acquisition was valued at Rs 2.5 billion with debt of Rs 1.85 billion and equity dilution of Rs 650 .The funding will be used to help the company expand the base & clear of major debts.
It is widely believed that Australia’s world class research, technology ,research institutions, universities and technology companies are among the best in the world and offer significant potential for partnerships. The decision to foray into advanced innovation framework, coupled with government and business investment in research and development, and a track record of world-class discoveries and outcomes, present cutting-edge collaboration, research and commercialization opportunities for India is widely beloved is the key to establishing strong links in research and development, technology transfer and the commercialization will provide mutual benefit to both the companies. The deal will give both the companies to the global market.Presently Dr Datsons Labs ongoing innovation programs to continue to improve competitiveness of its indigenous product range are key to partnership. The Australian Pharmaceutical industry is a major high tech industry, with exports of $3.89 billion in 2012-2013. The industry employed 15,463 people in manufacturing and the manufacturing sector spent $404 million on product manufacturing R&D in 2011-2012. In 2012-13, the pharmaceuticals industry received $7.1 billion from the Pharmaceutical Benefits Scheme (PBS) sales.
Dr Datsons Labs Limited is an integrated pharmaceutical company. The Company is engaged in manufacturing and marketing capabilities in CRAMS and active pharmaceutical ingredients (APIs). The Company focuses on anti-malarial and finished dosage forms (FDFs). The Company manufactures second generation anti-malarial APIs like quinine and salts, as well as third-generation antimalarial products like Artemisinin based salts. The Company is engages in the contract manufacture for pharmaceutical brands namely Wockhardt, Cipla, Zydus Cadila, Lupin and Glenmark, among others. The Company is engaged in the manufacture of advanced intermediates and APIs for global clients. The Company’s subsidiaries include Eros Pharmachem Pte Limited, Aanj Pharmalabs Limited, Fair Success (Hk) Limited and Dr. Datsons Labs Limited.
