Sanofi | Photo: Reuters
Topical products manufacturer Encube Ethicals said on Friday that it has agreed to buy popular topical anti-microbial brand Soframycin along with a portfolio of other brands for the India and Sri Lanka markets from Sanofi.
The deal size is estimated to be around Rs 125 crore.
Apart from Soframycin, Encube will also acquire other legacy associated brands such as Sofradex (antibacterial cream), Sofracort (antibacterial eye and ear drops), Soframycin-Tulle (antibacterial cream) for India and Sri Lanka markets.
shares ended day’s trade on the BSE at Rs 8299.95 apiece, up 1.5 percent.
Soframycin is a legacy brand for Sanofi
with a history of more than 50-years in India. The brand also has a strong recall, and Soframycin along with the other associate brands acquired by Encube accounted for around 2.6 percent of Sanofi’s India sales in 2020.
Encube is a manufacturer of prescription and OTC skincare products globally, and this would be its initial steps to launch products with its own label in India.
Encube, which has been contract manufacturing the Soframycin skin cream for over 20 years, said it will vertically integrate the brand building a front-end presence in India.
“Encube’s focus of 23+ years in skincare research and manufacturing will be leveraged to make a house of skincare brands, starting with the deep-rooted legacy of Soframycin," said Mehul Shah, founder and managing director of Encube.
Rajaram Narayanan, managing director of Sano India said the company regularly assesses the best ways in which to serve patients. term road map," Narayanan said.
The transaction is expected to close within the next three months.
Wadia Ghandy & Co. served as legal advisors to Encube on the transaction.
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