Eris Lifesciences in South Africa

Eris Lifesciences Expands Global Footprint with Strategic Acquisition of Swiss Parenterals

New Delhi, India – February 14, 2024

Eris Lifesciences Ltd., a prominent Indian pharmaceutical company, has announced the acquisition of a 51% stake in Swiss Parenterals Ltd. for ₹637.50 crore. This strategic move aims to bolster Eris’s presence in the sterile injectables market and marks its entry into the Rest of the World (RoW) export markets. (thehindubusinessline.com)

Strengthening Domestic and International Presence

Swiss Parenterals, headquartered in Ahmedabad, is a leading player in the sterile injectables sector, operating in over 80 emerging markets across Africa, the Asia Pacific, and Latin America. The company boasts two facilities in Gujarat, capable of manufacturing a wide range of sterile injectable formulations. These facilities are accredited by more than 50 regulatory authorities worldwide, including the EU-GMP, Brazilian Anvisa, Mexican Cofepris, and the Australian TGA. (biospectrumindia.com)

Amit Bakshi, Chairman and Managing Director of Eris Lifesciences, stated, “The acquisition of Swiss Parenterals will help us strengthen our India footprint through the launch of a domestic injectables-focused branded formulations business. Besides, the emerging markets focus of Swiss Parenterals complements our India focus very well.” (biospectrumindia.com)

Financial Details and Future Plans

The acquisition deal includes an initial payment of ₹200 crore at closing, with the remaining ₹437.50 crore to be paid 12 months from closing. Eris’s promoter group will concurrently acquire an additional 19% stake in Swiss Parenterals for ₹237.50 crore, bringing the total equity stake of Eris and its promoter group in Swiss to 70%. (thehindubusinessline.com)

This acquisition is expected to achieve financial closure before March 31, 2024. Eris plans to leverage Swiss Parenterals’ international distribution networks and regulatory expertise to begin exporting oral solid dosage formulations from its own manufacturing facilities. (biospectrumindia.com)

Recent Financial Performance

In the third quarter ending December 31, 2023, Eris Lifesciences reported a consolidated revenue of ₹486 crore, marking a 15% increase from the same period in the previous year. The profit after tax stood at ₹101 crore, a slight rise from ₹100 crore in the corresponding quarter of the previous year. (health.economictimes.indiatimes.com)

Strategic Growth Initiatives

Eris Lifesciences has been actively expanding its portfolio through strategic acquisitions. In November 2023, the company acquired the nephrology and dermatology segments of Biocon Biologics Ltd.’s branded formulations business in India for ₹366 crore. This move has positioned Eris as the second-largest player in the psoriasis segment, with an 11% market share. (financialexpress.com)

Additionally, in early 2023, Eris acquired nine dermatology brands from Glenmark Pharmaceuticals for ₹340 crore, further solidifying its presence in the dermatology segment. (businesstoday.in)

Looking Ahead

With the acquisition of Swiss Parenterals, Eris Lifesciences is poised to enhance its global footprint, particularly in the sterile injectables market. The company’s strategic focus on expanding its portfolio through both organic and inorganic growth avenues underscores its commitment to delivering value to shareholders and improving patient care across diverse therapeutic areas.

Eris Lifesciences’ Strategic Expansion in the Pharmaceutical Sector:

• Eris Lifesciences: Eris acquires 51 pc stake in Swiss Parenterals for Rs 637.5 cr, ET HealthWorld
• Eris Lifesciences expands footprint in sterile injectables with acquisition of 51% stake in Swiss Parenterals
• Eris Lifesciences enters Rs 30,000 cr injectables market with Biocon Biologics acquisition – BusinessToday