May 9: Bengaluru-headquartered pharmaceutical company Strides Shasun Ltd on Wednesday announced that it has agreed with Apotex, in principle, to merge their respective Australian business operations.
According to the company, the Combination will enable it, through the merged business, to become the leading player in the Australian generic pharmaceutical market by both volume and revenue.
Commenting on the transaction, Dennis Bastas, Executive Chairman of Arrow, said,” the proposed merger will provide our joint Australian customers with unparalleled service and support from the businesses with which they have chosen to partner for over 15 years”.
“Once complete, our merged operation will continue to provide all of the Arrow and Apotex brands that our customers have come to know and trust, and further enhance our customer service and continuity of supply, to better help pharmacists grow their businesses,” he added.
According to Roger Millichamp, CEO of Apotex Australia, said, “both companies are currently in a strong commercial position, but will be better positioned to meet the future challenges of the Australian pharmaceutical industry following the merger. The proposed merger will take the best of both companies, optimize our shared cost base, and maintain the viability of our operations through more effective delivery of medicines and services to consumers and patients.”
The transaction is subject to entering into definitive agreements between the parties, satisfactory due diligence, customary closing conditions and statutory approvals, including approval of Australian Competition and Consumer Commission (ACCC).
Strides Shasun shares were trading at Rs 567, up 2.66% from the previous closing of Rs 552.30, on BSE at 1.55 pm today.