Alembic Pharmaceuticals on Tuesday said it has taken complete control of Aleor Dermaceuticals Limited which will strengthen its manufacturing of skin-related offerings and marketing footprint.

Alembic Pharmaceuticals, which earlier held 60 per cent in Aleor Dermaceuticals, has now acquired the remaining 40 per cent from its JV partner Orbicular Pharmaceutical Technologies Private Ltd.

The board of Aleor has been reconstituted with the resigning of Orbicular nominees. The Alembic board has also approved, subject to approval from NCLT and other regulatory bodies, the merger of Aleor with Alembic, a statement from Alembic Pharmaceuticals said.

The amalgamation will integrate business operations and provide impetus to the existing portfolio of Alembic.

Notably, Aleor has product offerings across cream, gel, ointment, shampoo, lotion, solutions, sprays, foams, microsponge and nanoparticulate platform-based products. Aleor has USFDA-approved facility with 15 products under development and 30 ANDAs under its kitty.

The acquisition augers well with the strategic planning and growth trajectory set by the company to capture higher market share in various segments of its pharmaceutical business.

Pranav Amin, Managing Director, Alembic Pharmaceuticals, said, "We are happy to make Aleor our 100 per cent subsidiary and thereafter, post-merger, a unit of Alembic. This will further bolster our global reach with cutting-edge research and development in the derma space and enhance our integrated dermatology platform with a comprehensive collection of scientifically-proven products for daily skincare regimens and peri-procedural use."

According to IQVIA prognosis report, the dermatology market is expected to grow in double digits and increase its market share within the pharma market. The acquisition will unlock the full potential of Aleor and drive significant value creation through synergies with Alembic.

In a statement, MS Mohan, Managing Director of Orbicular, said, "It has been a great experience. We thank Alembic for the enriching partnership and now Orbicular would bolster its development capabilities independently in advancing several interesting and exciting opportunities in complex products."

After the amalgamation, the combined entity will have a bigger portfolio of products and direct access to markets, which will strengthen overall capabilities to serve more efficiently across different therapies, both overseas as well as domestic.

Further the growth of business envisages adequate capital and resources commitments and hence, the merger shall enable the pooling of abundant resources and impetus to the growth at a consolidated level.

Alembic Pharmaceuticals shares ended at ₹761, marginally up from previous close.

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