Glenmark acquires another brand in Brazil

Mumbai: The Brazilian subsidiary of the Indian drug company, Glenmark Pharmaceuticals Ltd, has acquired the hormonal brand, Uno-Ciclo, from Instituto Biochimico Indústria Farmacêutica Ltda for $4.6 million (about Rs20 crore).

The brand generated sales of $3.1 million in Brazil in the twelve months prior to the acquisition, Glenmark said in a communiqué issued here.

Glenmark Farmaceutica Ltda (GFL), a wholly-owned Brazilian subsidiary of Glenmark Pharma, has acquired the trademark along with exclusive manufacturing and marketing rights globally, the note said. As part of the agreement, Biochimico will contract manufacture the product for GFL. GFL will initially market the brand in Brazil and probably extend coverage to other Latin American markets, it added.

GFL had introduced three new brands to its portfolio in the last quarter of financial year 2005 and plans to add about seven more next year. Operations have been integrated with the Indian parent to provide support on product development, and selective bulk drug formulation supplies.

The overall Brazilian market, a semi-regulated market, has sales of about $7 billion. It is the largest pharmaceutical market in South America, besides being the world''s eleventh largest pharmaceutical market.

Glenmark''s Brazilian operation is expected to generate revenues of $7 million and a net profit of $1 million in financial year 2005.