The Hindu Business Line : Matrix plans jt ventures with South African co Aspen

MATRIX Laboratories Ltd and South Africa-based $321-million Aspen Pharmacare Holdings Ltd have forged an alliance for strengthening their businesses through joint ventures in India and South Africa.

As part of this alliance, both companies have signed two separate memoranda of understanding to enable them to hold cross-country ownership in two pharmaceutical manufacturing units through the joint venture route, Matrix Labs announced here on Friday.

According to the first MoU, Matrix and Aspen would form a 50:50 joint venture in India, which will manufacture active pharmaceutical ingredients (APIs) required by Aspen.

Matrix Labs will license the product technology relating to several APIs to the joint venture company on a non-exclusive basis.

Aspen will source its requirements of these APIs from the joint venture company.

As per the second MoU, Matrix would acquire a 50-per cent stake in South Africa-based Fine Chemicals Corporation (FCC), currently 100-per cent owned by Aspen.

FCC has an API manufacturing facility in Cape Town.

The company has USFDA approved manufacturing facilities and has filed 25 drug master files with the USFDA.

The turnover of the company for the year ended June 2004 stood at $23 million.

FCC enjoys a good customer base for its products in the US, Europe and Africa.

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