Nicholas Piramal to take over UK''s Rhodia

Mumbai: Nicholas Piramal India Ltd has announced the acquisition of the global inhalation anaesthetics business of UK-based drug maker Rhodia Organique Fine Ltd (Rhodia) for around Rs63 crore.

"Rhodia was a major competitor in the global market, so we decided to acquire it and grow it further. The acquisition gives us a significant presence in the niche global inhalation anaesthetics market," said Ajay Piramal, chairman and managing director of Nicholas Piramal.

The company, according to Piramal, is scouting for further strategic acquisitions in the niche area of critical care and is particularly keen on injectible anaesthetics. This is in line with its plans to establish a foothold in the global hospital and critical care segment.

"Unlike other domestic companies that have been acquiring generic drug companies in the international market, our strategic focus is on acquiring companies with a significant presence in a niche segment and on growing them. This is because the generics segment gets caught up in price competition. On the other hand, there is an opportunity to increase prices in niche segments," Piramal said.

The acquisition gives Nicholas Piramal access to Rhodia's manufacturing technology and facilities, as well as the global sales and marketing rights of two inhalation anaesthetics products, Halothane and Isofluorane.

Nicholas Piramal will also acquire complete control of Rhodia's sales and marketing network in over 90 countries, including the US, Europe, Japan and Australia.