Arch in pact with Apex Drugs

Mumbai-based Arch Pharmalabs, engaged in the manufacture of active pharmaceutical ingredients (APIs) and intermediates, has forged a marketing alliance with Hyderabad-based Apex Drugs and Intermediates. Apex manufactures APIs as well.

V Balaji, director, Arch Pharma, said, "We have been looking at such opportunities to expand our product and capabilities through partners so as to explore and bank on respective strengths in the manufacturing and marketing."

Apex Drugs confirmed the development, adding that their association with Arch would take them to as yet untapped markets. It would also give them access to various support functions like documentation. "The alliance will help Apex use its assets more effectively and double its topline," a source in Apex said.

On the other hand, Arch, which has 650 employees in various offices and five manufacturing plants across the country, is set to enter the anti-ulcerants, anti-histamine and other therapeutic segments through the alliance.

Apex's asset pool will also aid the company in restructuring its manufacturing and backward integration strategy. The company's annual turnover is around Rs 250 crore, which it is confident of increasing by a substantial percentage with the marketing alliance.

Arch Pharmalabs, had in June this year, signed a similar marketing agreement with another Hyderabad-based company, Sibra Pharmaceuticals Ltd.

That alliance was for marketing anti-retrovirals (ARVs). According to that agreement, Arch markets the entire range of Sibra's ARVs on an exclusive basis, both for Indian and global markets.

Ajit Kamath, CMD of Arch, had then said the company was on the lookout for such co-marketing arrangements and would expand its offerings across therapeutic segments. The company is the global leader in intermediates of Isoxazole Penicillins.