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Natco Pharma is set to acquire a nearly 36% stake in South African pharma company, Adcock Ingram Holdings for around ₹2,000 crore.
Founded in 1890, AIHL has a diverse product portfolio, from generic and branded formulations, critical-care hospital products to consumer and home-care products.
The deets: the proposal to acquire the stake in an all-cash deal is aimed to expand its geographic footprint in South Africa. The acquisition is expected to be completed by 2025.
It will also allow Natco Pharma to tap into new revenue streams and expand its footprint in one of the largest and growing emerging markets, while providing a gateway to the African continent.
Big picture: Indian pharma companies are expanding their presence in Africa, South America, and South Asia as part of a broader China Plus One strategy. This shift comes amid global woes, supply chain disruptions and efforts to reduce dependence on China.
