The deal is part of Luitpold’s efforts to diversify its product portfolio and generate growth. In particular Luitpold has identified the generic injectable market as a growth opportunity.
By acquiring PharmaForce it has strengthened its position in the market for difficult to manufacture sterile drugs and generic injectables and bolstered R&D and production capacity.
In addition to the current good manufacturing practice (cGMP) compliant facility and the active pharmaceutical ingredient (API) production plant the deal also includes a 20,000 sq ft R&D site.
Acquiring the R&D site immediately boosts Luitpold’s infrastructure, expertise and pipeline, providing it with a platform to become the sole source or first-to-market for generic injectable products.
The acquisition has been cleared by the US Federal Trade Commission (FTC) and Luitpold has purchased 100 per cent of PharmaForce’s stock. Following the deal Columbus, Ohio, US-based PharmaForce’s products will be marketed by Luitpold’s subsidiary, American Reagent.
Daiichi targets Africa
Daiichi-Sankyo, which owns Luitpold, is planning to use Ranbaxy Laboratories’, also owned the Japan-based pharma, presence in Africa to launch a product in six countries on the continent.
In December 2009 Daiichi outlined its intention for Ranbaxy to launch Olmesartan Medoxomil, originally discovered by the Japanese pharma, in Kenya, Mozambique, Nigeria, Tanzania, Uganda and Zambia.
This will use Ranbaxy’s established presence in Africa and is a continuation of Daiichi’s efforts to benefit from the companies’ respective strengths following its $4.5bn (€3.1bn) acquisition of the Indian generics firm.
In April 2009 Ranbaxy launched Olmesartan Medoxomil in India under the name Olvance. This was followed in August by the Indian launch of a fixed-dose combination of Olmesartan Medoxomil with Amlodipine Besylate.