You are here: Home » Companies » News
Business Standard

Lincoln Pharma acquires plant for making pneumonia, bronchitis antibiotics

The acquisition along with capacity expansion and modernisation entails an investment of Rs 30 crore which Lincoln Pharma will fund through internal accruals

Topics
Lincoln Pharmaceuticals | pneumonia | acquisition

Vinay Umarji  |  Ahmedabad 

pharmacy, drugs, medicine, pharma companies, pharmaceuticals, vaccine, coronavirus, covid, testing

Ahmedabad-based drug maker Ltd has acquired a facility in Mehsana that makes antibiotics used in the treatment of and bronchitis, among other ailments.

The along with capacity expansion and modernisation entails an investment of Rs 30 crore which Lincoln Pharma will fund through internal accruals.

The plant will manufacture Cephalosporin products which is a bactericidal, broad-spectrum, and β-lactam antibiotic originally derived from fungus Acremonium. To be manufactured in tablet, capsule, dry syrup and injectable forms, Cephalosporin is used to treat bacterial infections such as pneumonia, skin infections, ear infection, strep throat, staph infections, tonsillitis, bronchitis and others.

According to Ltd.'s managing director Mahendra Patel, the company expects commercial production of the Cephalosporin products by March 2022.

"In the next three years, the facility is expected to contribute sales of around Rs 150 crore from domestic markets as well as exports," said Patel.

The acquired facility in Mehsana, Gujarat has been designed as per the PIC's and European Region. However, Lincoln Pharma is in the process of applying for WHO GMP Certifications for the facility and expects to receive the same by December 2021. Apart from planning to manufacture 20 plus Cephalosporin products, the company is also planning to start product registration soon for the domestic and exports market.

Plans are afoot to manufacture 20 plus Cephalosporin products including Cefalexin Oral Suspension BP, Clavulanate Tablets, Cefixime Capsules, Cefuroxime Axetil Tablets among others. For exports, markets like African, Latin America and Southeast Asia are being explored before expanding to other markets subject to necessary approvals.

Meanwhile, recently, National Company Law Tribunal (NCLT) Ahmedabad Bench approved the scheme of amalgamation of Lincoln Parenteral Ltd and Ltd. The amalgamation is expected to bring synergies in terms of operations efficiency, enhance competitive strength, cost-effectiveness and productivity for the combined entity, Patel added.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Tue, September 21 2021. 14:03 IST
RECOMMENDED FOR YOU
.