Torrent Pharma Open To Strategic Acquisitions

Torrent Pharmaceuticals Ltd. is looking for acquisitions for its women’s healthcare portfolio, after lapping up two popular hormone brands from Novartis AG.

“We are always open to acquisitions provided it fits in our strategic intent and long term business plan,” Jayesh Desai, executive director, Torrent Group, told BloombergQuint in an email.

On Monday, the Ahmedabad-based drug maker announced it had completed the acquisition of two popular brands in the women healthcare category—Regestrone and Pregachieve—from global pharmaceutical company Novartis AG.

Torrent Pharma will be selling these two brands in India. These brands are prescribed by gynaecologists for treatment of abnormal uterine bleeding, pre and post- menopausal symptoms and infertility.

The company had intimated stock exchanges earlier in April that it had inked an agreement with Novartis AG to acquire certain generic pharmaceutical products subject to approval from the Competition Commission of India.

Women healthcare is an important therapy area for Torrent Pharma, and intends to focus on it in the future. “With acquisition of key brands of Elder Pharma like Shelcal and Deviry, impetus on this therapy area has also increased,” the company said in a press release to the stock exchanges.

The drug manufacturer expects the acquisition of Regestrone and Pregachieve to further fortify the hormone segment and reaffirm Torrent’s commitment towards women healthcare which remains an important therapy for the company. The use of Hormones amongst the gynaecologists is on an increase because of lifestyle changes.

The company did not divulge financial details of the deal owing to confidentiality agreement with Novartis.

Currently, about 13 percent of Torrent Pharma’s gynaecological therapy falls under price control under National List of Essential Medicines (NLEM) 2015.

Shares of Torrent Pharma opened 1 percent higher at Rs 1,303.75 on the BSE before trading flat at Rs 1,285.85 at 10.56 a.m.