Eiko LifeSciences acquires 25.01% stake in Reflux Pharmaceuticals Pvt Ltd

Eiko LifeSciences Limited (ELL), announced today that it has acquired a 25.01% stake in Reflux Pharmaceuticals Private Limited (RPPL), a pharmaceutical company that specializes in manufacturing and exporting active pharmaceutical ingredients (APIs) and intermediates. The acquisition is part of ELL's long-term strategic growth plan to diversify its portfolio and enter new markets.

As part of the deal, ELL will assist RPPL in identifying, developing, and promoting new products and marketing thereof in the interest of both the companies. Both ELL and RPPL will use their manufacturing facilities/ expanded capacities to manufacture the products identified and developed. ELL will also be the preferred source of supply for some of the key raw materials to RPPL at "arm's length" transaction.

The acquisition will help ELL to leverage its expertise in specialty chemicals and its global network to enter the lucrative European markets, where RPPL has a strong presence. Both ELL and RPPL will co-market some of the newly developed products.

Mr. Laxmikant Kabra, Chairman of Eiko LifeSciences Limited, said, "We are delighted to partner with Reflux Pharmaceuticals Private Limited, a company with a strong reputation and expertise in the pharmaceutical API and specialty chemical industry. This acquisition will enable us to leverage our synergies and create value for our stakeholders. We believe that this partnership will enhance our capabilities and competitiveness in the global market. We shall continue to remain committed to the growth of our company and look forward to many more years of mutually beneficial association.

Mr. Amitkumar Ghosh, Director of Reflux Pharmaceuticals Private Limited, said, "We are excited to join forces with Eiko LifeSciences Limited, a company with a proven track record and experience in the chemical sector. This acquisition will provide us with access to Eiko's resources and network, which will help us accelerate our growth and innovation. We look forward to working together with Eiko to develop and market new products that will benefit our customers and society at large."

Shares of Eiko LifeSciences Ltd was last trading in BSE at Rs. 71.05 as compared to the previous close of Rs. 71.63. The total number of shares traded during the day was 40457 in over 303 trades.

The stock hit an intraday high of Rs. 72.99 and intraday low of 68.55. The net turnover during the day was Rs. 2852389.00.

Source : Equity Bulls

Keywords

EikoLifeSciences INE666Q01016 Acquisition RefluxPharmaceuticals APIs Intermediates