The Hindu Business Line : Avesthagen arm acquires Swiss co Siegfried Biologics

Bangalore, Oct. 5 Avesthagen’s joint venture, Avesta Biotherapeutics and Research Pvt. Ltd, has said it has acquired a Swiss contract manufacturing company, Siegfried Biologics GmbH, for an undisclosed sum.

The acquisition will give ABPRL – an Avesthagen-Cipla group joint entity – a ready manufacturing foothold complying with USFDA and European EMEA norms, Avesthagen said in a release. Avesthagen partnered with the Cipla-owned Meditab Specialities in 2004 to set up ABPRL.

The 10-year-old Siegfried facility based in Berlin has a team of over 50 people. It will initially focus on the new-generation and targeted biopharmaceuticals being developed by Avesthagen.

These include autoimmune disorders (e.g: diabetes) and cancers. Avesthagen expects to launch its first product in the market in early 2009.

A company release said, “This acquisition will add process development and GMP manufacturing capabilities to the technology development prowess of Avesthagen and Cipla’s marketing expertise to ABRPL.”

According to Dr Villoo Morawala-Patell, Founder, Vice-Chairperson and Managing Director of Avesthagen (Avestha Gengraine Technologies Ltd), “Avesthagen’s foray into the European market with its partner Cipla will bring cost-effective drugs to the global market at the right time and at the right price.” Avesthagen said the tie-up strengthens the growing impact of biopharmaceuticals on a market currently dominated by chemical entities.

The domestic biopharma market is now estimated at $1.5 billion and is expected to grow more than three-fold to $5 billion by 2010; this will be dominated by recombinant proteins, vaccines and monoclonal antibodies.

ABRPL, which made the acquisition, will make biopharmaceuticals for the global markets, starting with the BRIC (India, Brazil, Russia and China) countries.

It will also tap contract manufacturing opportunities worldwide.

“The partnership is expected to widen,” the company said.

More Stories on : Mergers & Acquisitions | Pharmaceuticals

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