Lupin acquires ZAO Biocom in Russia

Indian drugmaker Lupin (BSE: 500257) has announced a second acquisition in the last couple months, this time taking a 100% equity stake in ZAO Biocom in Russia subject to certain closing conditions. Financial terms were not disclosed.

The acquisition marks Lupin's foray into the Russian pharmaceutical market which recorded 765 billion roubles (around $140 billion) in sales, placing it as one of the op 10 pharmaceutical markets in the world in 2014 (IMS Health). For over a decade, the Russian pharmaceutical market recorded double digit growth and is expected to continue with this trend, projecting Russia to be one of the top 8 pharmaceutical markets in the world by 2018 (IMS Health).

Established in 1991, Biocom is a fast-growing generic pharmaceutical company with a major focus on therapies such as cardiovascular, central nervous system and antimicrobials for systemic use and also does contract manufacturing and secondary packaging. The company recorded sales of 861.2 million roubles in financial year 2014 and has 118 employees. Biocom operates a modern European GMP compliant plant and was also one of the first Russian pharmaceutical manufacturing companies to receive an approved manufacturer status from the World Health Organization in 2013.