OJSC Pharmstandard acquires 55% stake in Ukraine's Biolek

Leading Russian drugmaker JSC Pharmstandard (PHST: MM) says it has acquired a 55% stake in Ukrainian company PJSC Biolek. The move follows a November 2010 decision by the Ukrainian Antimonopoly Committee to grant permission for the purchase of over 50% of the shares of Biolek. Financial terms of the deal were not disclosed, but it will be financed with Pharmstandard's own funds, the company said.

Biolek, a top 20 Ukrainian pharmaceutical company, produces immunobiological, vaccines, serums, diagnostics products, culture mediums, blood products, hormonals, antivirals, antibacterials and enzymatic products.

According to unaudited data, Biolek's sales were $13.3 million in 2009. The forecast for 2010 turnover is $17.7 million - a 23.3% year-on-year increase. Exports make 23% and domestic sales are 77% of the company revenue, respectively.