The drug-eluting stents (DES) market is expected to be over $100 million by 2020.
Stent-maker Sahajanand Medical Technologies (SMT) on November 26 said it has acquired a majority stake in Brazil-based sales and marketing company Zarek Distribuidora De Produtos Hospitalares, for an undisclosed amount.
Headquartered in the Brazilian state of Rio Grande Do Sul, Zarek has a product portfolio that includes interventional cardiology and endovascular products such as coronary and peripheral stents, balloons and drug-eluting balloons.
"This acquisition will help SMT enhance its market share in Brazil with an increased on-ground presence and working closely with healthcare community," SMT said in a statement.
Brazil is among the top ten markets for Interventional Cardiology in the world. The drug-eluting stents (DES) market is expected to be over $100 million by 2020.
Through this acquisition, SMT is planning to cater to other Latin American countries that share land borders with Brazil such as Argentina, Bolivia, Colombia, Guyana, Paraguay, Peru, Suriname, Uruguay and Venezuela.
Brazil also has free trade agreements with most of these countries as it is a member of the South American Common Market (Mercosur).
A company with a turnover of Rs 400 crore, SMT said it intends to invest in building additional manpower to promote its fourth generation drug-eluting coronary stents -Supraflex Cruz and Supraflex Star- in Brazil.
The company recently got ANVISA approval for these products. ANVISA is Brazil’s medical device market regulator.
'The acquisition of Zarek is a step towards creating direct presence in major markets across the globe," SMT's Corporate Strategy Head Gaurav Goel said about the deal.
"Brazil is the largest market in Latin America and is a key market for us. This acquisition would give SMT direct presence, providing more flexibility in terms of customer service and engagement," Goel added.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.