Fresenius Kabi expands IV drug business in Latin America
Deal builds on long-term presence in Brazil and creates a strong base for further expansion
Fresenius Kabi has entered into an agreement to acquire the privately held Brazilian pharmaceutical company Novafarma Indústria Farmacêutica. The deal is part of Fresenius Kabi’s strategy to expand its market presence and product portfolio in emerging markets. Financial terms were not disclosed and the transaction is expected to close in the second quarter of 2014, subject to antitrust approval in Brazil.
Novafarma offers a comprehensive range of generic IV drugs, including antibiotics, analgesics and anaesthetics, for the Brazilian hospital market. The company is headquartered in the state of Goiás, where it also operates a manufacturing facility and a research and development centre. Sales in 2013 were approximately €34m.
Fresenius Kabi entered the Brazilian market in 1977, and is one of the country's leading suppliers of clinical nutrition, infusion therapy and medical devices/transfusion technology.
'With this acquisition, we are building on our long-term market presence in Brazil and establishing a strong hub for the further expansion of our generic drug business in the Latin American region,' said Mats Henriksson, CEO of Fresenius Kabi. 'Novafarma’s portfolio will enable us to provide patients and healthcare professionals with an extensive range of high quality and affordable IV Generics.'