Cambrex Corporation, a US-based life sciences company, has acquired a 51% stake in Zenara Pharma, Ltd., an India-based pharmaceutical company focused on the formulation of final dosage form products, for $20 million. Zenara will be renamed Cambrex Zenara.
Pursuant to the agreement, Cambrex will acquire the remaining 49% in early 2016 at a value based on a weighted combination of a multiple of 2015 earnings before interest, taxes, depreciation and amortization (EBITDA) and cumulative EBITDA for the years 2011 through 2015.
Deal Value (US$ Million) 20 Deal Type Acquisition Sub-Category Majority Acquisition Deal Status Completed: 2010-11-02
Deal Participants
Target (Company) Zenara Pharma, Ltd. Acquirer (Company) Cambrex Corporation
Deal Rationale
The acquisition provides a development and manufacturing platform for Cambrex within the Indian pharmaceutical market. The integration of Cambrex's API and drug delivery business with Zenara's formulation and finished dosage experience enables Cambrex to provide more benefits to its pharmaceutical customers. The acquisition positions Cambrex as one of the major global suppliers to the nicotine replacement therapy (NRT) market providing both active pharmaceutical ingredients (APIs) and finished dosage form products.
Source: Trading Markets