Nirma gears up for pharma foray

FMCG major Nirma is diversifying into pharmaceutical sector. The company, which acquired the assets of Core Healthcare in 2005, plans to manufacture and market theraputic injectables and parenteral drugs in the domestic and international market.

In addition of Core Healthcare's IV fluid manufacturing plant, Nirma also took over facilities its large and small volume parenterals and medical devices businesses.

The facilities are located in Sachana near Ahmedabad also includes a 65 megawatt captive power plant that is yet to become operational.

At the the time of acqusition Core Healthcare, which had a staff of 1,300, was in the doldrums due to lack of adequate working capital. As a result, capacity utilisation was just 40-50 per cent.

The Karsanbhai Patel promoted Nirma enjoys more than 20 per cent market share in the toilet soap industry, but it has been taking a beating in volumes in the segment in the past two years.