Biocon buys 70% stake in German pharma co for €30 m

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The new autonomous subsidiary will introduce Biocon's generics, biosimilars, biologics and innovative pharmaceutical products, while significantly boosting the new parent's bottomline.

Germany has Europe's biggest and growing market for anti-diabetes drugs with an annual insulin sales of €950 million, according to AxiCorp's General Managers and founders, Mr Holger Gehihar and Mr Dirk Ullrich.

The buy marks the first of the expected acquisitions Biocon has planned following the nearly Rs 460-crore sale of its enzymes business to Novozymes in July last year.

According to the AxiCorp officials - formerly with Sanofi Aventis - the German company has grown on an innovative low-cost drugs model based on cheaper generic alternatives and off-patent drugs sourced from all over Europe into Germany and has launched 180 products across the continent, said it also has its own brand of discounted drugs, Axcount.

A senior company official said Insugen would double its markets to 40 countries by the end of this year. It was the company's first global brand, soon to enter West and South-East Asia and Latin America where the registrations were going on.

Biocon's share price on the BSE on Monday ended just over one per cent lower at Rs 401.4 over Friday's close of Rs 405.95.

Taken from Business Line

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