The group’s subsidiary, LM Manufacturing Ltd, has an oral fluid manufacturing site in Weedon, Northampton, UK, supplying products to the US and UK markets.
Zydus Lifesciences on Tuesday said it has acquired Britain’s LiqMeds Group for GBP 68 million (about Rs 689 crore).
The Ahmedabad-based group, through its wholly owned subsidiary Zydus Pharmaceuticals UK Ltd, will also pay annual earnouts until 2026, subject to the achievement of certain agreed milestones towards the acquisition.
The LiqMeds group of companies specializes in the development, production and supply of oral liquid products for the global market.
The group’s subsidiary, LM Manufacturing Ltd, has an oral fluid manufacturing site in Weedon, Northampton, UK, supplying products to the US and UK markets.
“Zydus will pay an upfront consideration of GBP 68 million and annual earnouts until 2026, subject to the achievement of certain agreed milestones towards the acquisition of the LiqMeds Group,” the company said in a regulatory filing.
The transaction will be accretive to earnings per share for Zydus from the first year of acquisition, it added.
“We believe liquid orals are a large, growing market and address unmet needs with significant new market expansion opportunities,” said Sharvil Patel, general manager of Zydus Lifesciences.
In line with the patient-centric approach, the company believes that oral liquid formulations could benefit geriatric and pediatric patients, increasing convenience and compliance, he added.
Shares of Zydus were trading 0.89 per cent lower at Rs 574.70 apiece on the BSE.
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First print: October 31, 2023 | 4:20 PM IST