J.B. Chemicals & Pharmaceuticals Limited (JBCPL), on Wednesday, announced that it will acquire brands from Sanzyme private limited for the Indian market. The development will mark the JBCPL’s entry into the probiotics, therapeutic nutraceuticals, and reproductive health market.
The company will be amongst the top five probiotics players in the country, in a segment that is growing at around 12 -14% after this acquisition. JBCPL will pay INR 628 crore (approximately) to Sanzyme and the deal is expected to be completed in the next two weeks.
“We are glad to announce our first acquisition which expands our presence into new Therapeutic areas and also increases the addressable opportunity in the India Pharma market. This is in line with our stated objective of building big brands through category leaders. Sanzyme has been a pioneer in the probiotics segment and we wish to build further on this legacy.”Mr. Nikhil Chopra, CEO & Whole-time Director, J.B. Chemicals & Pharmaceuticals Limited
Probiotics portfolio includes Sporlac (which is the third-largest probiotics brand in India) and specialized products such as Lobun( A probiotic used for delaying progression of Chronic Kidney Disease) and Oxalo (alternate risk-free therapy to decalcify kidney stones).
It is expected that, following the acquisition, these products will derive significant visibility by leveraging JBCPL’s distribution network across the country. The acquired brands, with a wide distribution reach of 300,000 chemists and 100,000 prescribers, have a pan-India presence.
Nikhil further added “This acquisition also reinforces our strategic intent to evaluate opportunities to supplement our growth ambition in India. Overall, our objective is to deploy capital judiciously to enhance value for all stakeholders.”
Sanzyme is one of the top five probiotics players in the country and operates in the gastroenterology, nephrology, urology, and gynecology therapy areas with leading brands such as Sporlac, Lobun, and Gynogen. As per IQVIA MAT Dec 21 data, the revenue for the combined brands was INR 160 crores.
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