Delivers strong footprint in Romanian market Alvogen, the international pharmaceuticals company, today announces that it has acquired Labormed Pharmaceuticals (“Labormed”) as of December 2012, a Romania-based pharmaceutical company engaged in the manufacturing and sales of generic medicines.
The transaction creates a powerful platform from which to drive further revenue growth in the Romanian market, as well as in other Central & Eastern European markets. It also represents a significant milestone in Alvogen’s strategy to become one of the leading companies in the global generic pharmaceutical sector.
Rationale
Through this acquisition, both Alvogen and Labormed will benefit from the increased scale, portfolio and geographic reach of the enlarged group.
- Labormed will become the enlarged group’s center of excellence in the CEE and will serve as Alvogen’s head office in the region. In addition, Labormed facilities will be the manufacturing, R&D, sales and marketing base for the entire region. The acquisition will significantly strengthen Alvogen’s market position in Romania.
- Labormed contributes a strong product portfolio with minimal overlap with Alvogen, with the potential for broader geographic reach outside of Romania into other key CEE markets. Labormed’s strong focus on cardiovascular and central nervous system medicines, as well as on OTC analgesics, vitamins, probiotics and cough & cold compliments Alvogen’s existing portfolio, which mainly focuses on oncology and hospital products.
- Labormed will benefit from the international management expertise, global reach and portfolio expansion that Alvogen will provide, with the potential to further build on its strong local market position. Alvogen’s regulatory expertise will allow the group to excel in CEE’s rapidly changing regulatory environment.
- Laurentiu Scheusan, a recognized expert in the Romanian pharmaceutical market, who formerly managed local operations for generic pharmaceuticals company Actavis, will continue to lead Alvogen’s operation in the CEE region.
- Alvogen will work closely with Labormed’s management team, where their expertise, and that of their workforce, will be invaluable to the enlarged group.
Commenting on the acquisition, Mr. Robert Wessman, Chairman and CEO of Alvogen, said:
“Our core objective for strategic acquisitions is to find opportunities that extend our product portfolio and manufacturing capacity as well as broaden our platform for growth in core markets. Labormed entirely fits that rationale and therefore represents another significant step forward for Alvogen in the CEE region, a key market where we already generate a third of our total revenues. The transaction brings considerable product and marketing synergies and positions us well to take advantage of further opportunities in the CEE pharmaceutical market.”
Enquiries: Halldor Kristmannsson Vice President Organizational Development, Global Communications & Media Relations Tel: (+354) 522 2928 halldor.kristmannsson@alvogen.com
Alvogen
Alvogen is a privately held next-generation pharmaceuticals company. Its business model ensures competitive advantage through focused in-house capabilities combined with a network of partners for enhanced speed and flexibility. A unique portfolio of high quality and high barrier products fuels our targeted growth strategy. Currently, Alvogen is present in 25 countries around the world with over 200 strategically selected pharmaceutical projects in development and registration covering key therapeutic areas including biosimilars.
Labormed Pharmaceuticals
Labormed is the largest independent generics company in Romania. The company has the most modern production facility for solid oral forms in Romania, which is the first type of Greenfield investment in pharmaceutical area in the country, accounting for a 19 million euro investment in 2007. Labormed has a complex portfolio of over 200 modern generic products, OTC products, natural remedies and an excellent research and development capabilities, with bioequivalence laboratories at international level. Based on these internal resources, the company has developed over 50 generic molecules.