Research-based pharmaceutical and healthcare company GlaxoSmithKline, today said that it had entered into a definitive agreement to acquire Bristol-Myers Squibb Pakistan (BMSP) and some of its related trademarks for approximately $36.5 million (£24.6 million) and expects to close the eal by early next year.
This acquisition follows the agreement GSK announced with South Africa-based pharmaceuticals company Aspen in July 2008, which significantly extended GSK's pharmaceuticals portfolio in emerging markets; and the acquisition of the Egyptian mature products business of Bristol-Myers Squibb, announced in October 2008.
GSK will acquire a portfolio of over 30 well-established pharmaceutical brands, many of which occupy a leading market position in key therapeutic disease areas in Pakistan including Veslosef, the popular antibiotic in Pakistan, along with products in cancer and cardiovascular drugs.
The BMSP product portfolio, which includes antibiotics, vitamins and dermatology products is complementary to GSK's existing portfolio and will also provide new opportunities for GSK in the fast-growing therapeutic areas of cardiovascular and oncology.
Total sales of the BMSP product portfolio in 2007 were Pakistani Rs1.5 billion (approximately $19 million).
Commenting on the acquisition Abbas Hussain, president, emerging markets, GSK, said, ''We are continuing to make investments in emerging markets, to grow and diversify GSK's business. This acquisition reinforces our commitment to Pakistan, broadening our product portfolio and helping us to meet the needs of patients.''
This acquisition follows the agreement GSK announced with South African based pharmaceuticals company Aspen in July 2008, which significantly extended GSK's pharmaceuticals portfolio in emerging markets; and the acquisition of the Egyptian mature products business of Bristol-Myers Squibb for $210 million.
Emerging markets are forecast to account for 40 per cent of growth in the worldwide pharmaceutical market by 2020.
GSK has been operating in Pakistan since 1948 and is a market leader in the local industry in value, volume and prescription shares.
Pakistan is the sixth most populous country in the world with a population of approximately 161 million. The pharmaceutical business in Pakistan is valued at $1.2 billion (£0.8 billion) and grew at a CAGR of 12 per cent over the last 5 years