Vivimed buys Actavis Pharma's unit for Rs 122 cr

Gross acquisition consideration of Rs 122 crore being funded through a combination of internal accruals and debt

Vivimed Labs Limited, a Hyderabad-based manufacturer of specialty chemicals and pharmaceuticals, has signed an agreement to acquire Actavis Pharma Manufacturing Private Limited (APMPL)'s solid oral dosage (SOD) facility at Alathur in Tamil Nadu. The gross acquisition consideration is Rs 122 crore, to be funded through internal accruals and debt.

Being acquired from its parent Actavis Holding Asia BV, an affiliate of NYSE-listed generic and specialty pharmaceutical company Actavis Inc, APMPL’s facility capacity is at 1.2 billion SODs a year. It is located on five acre of which three acre is unutilised. Vivimed eventually plans to expand APMPL’s current manufacturing capacities in the mid-term.

In a release on Thursday, Vivimed said this acquisition was strategically attractive as it provided the company with immediate finished dosage formulation (FDF) access to the US generics market.