STADA strengthens UK generics business through acquisition
03/10/2003 . Ad hoc Release
STADA Arzneimittel AG today acquired the UK generics provider Schein Pharmaceutical Holdings UK Limited and its subsidiary Schein Pharmaceutical UK Limited, both based in Newbury, supplying their Genus Pharmaceuticals marketing line to the UK generics market (2002 annual sales of approximately EUR 11 million). The seller is Schein Pharmaceutical (Bermuda) Limited, a subsidiary of US-based Watson Pharmaceuticals, Inc., California. The purchase price is EUR 17 million. As a result of this deal, STADA is acquiring a lean, sales & marketing-focused company with 19 employees whose products are made by contract manufacturers and sold in the market with the aid of additional external sales persons. Its portfolio comprises 18 products in 35 dosage forms for various types of treatment, including a cardiovascular product already being sold under license for STADA. Generics for surgeries and hospitals generate roughly 85% of sales, with the remainder coming from branded products.
STADA reported generics sales in the UK of around EUR 10 million in 2002. So far, these sales have been generated solely by the export activities of various subsidiaries. GenRX, a company set up jointly by STADA and a local partner in 1999 to sell and distribute generics in the UK, has never been operational.
STADA plans to swiftly integrate most of its existing export sales into its newly acquired marketing line. The STADA group's product pipeline also contains approved products that have yet to be introduced but are ready for distribution in the UK. The European dimension to STADA's development activities will continue to provide the new subsidiary with a steady flow of new products.
For more information, please contact:
STADA Arzneimittel AG
D-61118 Bad Vilbel
Tel.: +49 6101 603-113
Fax: +49 6101 603-506