RFCL Limited, an ICICI Venture company, announces its first global acquisition in the space of veterinary healthcare through a share purchase agreement with Marsing & Co Limited A/S for its Germany based subsidiary co. Bremer Pharma GmbH.
Bremer Pharma has been into research, manufacturing and supplying veterinary medical preparations including powders, tablets, solutions, suspensions and injectables for over 26 years, through a worldwide distribution network. It has 803 global registrations across Europe, Middle East, Asia and Africa.
The agreement is for transfer of all key people, assets, brands and the name “Bremer Pharma”, all contracts including exports. RFCL will gain a marketing foothold in the city of Bremerhaven, near Hamburg and a state-of-the-art manufacturing base in the rural heart of Germany, in Warburg-Scherfede with a processing capacity of nearly 663,000 litres of Liquids per annum per shift, nearly 1,032 tonnes of Solids per annum per shift and 1.5 million vials of Sterile solutions per annum per shift.
Bremer Pharma brings along an extensive quality assurance system, certified according to DIN ISO 9001:2000 and based on the requirements of the EDQM guidelines, guaranteeing transparency and optimization of all work flows in the organization.
Close on the heels of Alved’s acquisition in January 2008, this initiative will propel RFCL’s Animal Healthcare business under the SBU, Vetnex, onto the global map.
RFCL’s Animal Healthcare business under Vetnex will achieve a turnover of Rs 900 mn for FY 08, registering a growth of almost 22% over the previous year, which is in line with the company’s objective to aim for double the market growth for all of its businesses. Combined with sales revenue of Bremer Pharma and Alved, RFCL’s veterinary product portfolio will be in excess of Rs.1600 mn and would be amongst the Top 25 global integrated veterinary healthcare players by 2009.
Commenting on this inorganic growth initiative for RFCL and its Veterinary business Vetnex, Sushil Mehta, Managing Director, RFCL Limited says, “We believe that this agreement is the first step taken by RFCL to establish itself as a fast growing, global integrated player in Life Sciences and veterinary solutions provider. This acquisition will give us a strategic platform to enter the European and Middle East markets. We look forward to working with the management, marketing and production teams at Bremer to seize the worldwide growth opportunity in integrated veterinary healthcare. RFCL is stepping up its effort by dedicating suitable resources to build manufacturing capabilities, research and development strengths, an integrated logistics and supply chain network and also developing diverse talent for embarking on quantum growth opportunities through organic and inorganic initiatives”
The acquisition of Bremer Pharma brings in a young and dynamic team of 53 employees including veterinarians, marketing professionals and manufacturing specialists for better efficiency and customer service.
Mr. Goran Hunder Managing Director, Bremer Pharma commented, “As businesses become global we need to explore such strategic mergers & acquisitions to attain the cherished goal of attaining a leadership position in the field of integrated veterinary solutions.”
The Sellers intend to divest the animal health business and concentrate on their core business of Active Pharmaceuticals Ingredients.
About RFCL
The 100% ICICI Venture owned, RFCL covers the expanse of Life Sciences industries through its three strategic business units; Diagnova for Diagnostics and Biomedical Sciences; Vetnex for Veterinary Healthcare and Rankem for Scientific Laboratory Solutions. The fourth SBU, Neosynth is dedicated to partner Research & Development initiatives. RFCL has initiated production for its diagnostics and animal healthcare products at its state-of-the-art manufacturing plant in Haridwar SEZ.
RFCL has evolved its corporate philosophy around Science, Solutions and Life. This philosophy is the foundation for RFCL’s vision “to emerge as a globally respected company in the field of Life Sciences and Laboratory Solutions by providing quality products and services and by creating winning relationships.”
(www.rfcl.in)
About Bremer Pharma GmbH
BREMER PHARMA GmbH is a manufacturer of generic veterinary medical preparations located in Germany and has been in operation since 1982, catering to customers across various regions including Europe, Middle East, Asia, and Africa. Marsing, a key supplier to Bremer, acquired the Company in November 2003. Marsing & Co. A/S, a Denmark-headquartered European company founded in 1943, is a key player in the marketing of Active Pharmaceutical Ingredients (APIs) as well as Raw Materials for other chemical industries.
(Press Release)