MILANO (MI -- (MARKET WIRE) -- July 28, 2006 -- Milan, 28 July 2006 - Recordati has agreed to acquire Jaba Farmacêutica and the other pharmaceutical businesses belonging to the Grupo Jaba in Portugal. The purchase price is EUR 45 million approximately but may be adjusted contingent upon the full year 2006 operating results. The closing is expected to take place during 2006.
Founded in 1927, Jaba, the third largest Portuguese pharmaceutical group, has a significant market share and an extensive product portfolio covering a wide range of therapeutic areas. It includes prescription drugs sold under license as well as proprietary brands, plain generics, and a well-known line of OTC products. The business also includes modern production facilities which offer manufacturing services for third parties.
The acquired business, which is headquartered near Sintra, comprises an organization of around 330 employees, including more than 100 medical representatives, and generated revenues in 2005 of approximately EUR 39 million with positive margins.
“The agreement concluded with Jaba allows us to enter the Portuguese market directly and represents a further step in our strategy to expand our direct presence in the European pharmaceutical market”, stated Giovanni Recordati, Chairman and CEO. “We intend to strengthen the product portfolio of our new subsidiary first of all by launching lercanidipine, our leading product, and over the medium term through the launch of our new pipeline products such as Zanitek®, a fixed combination of lercanidipine and enalapril for the treatment of hypertension, silodosin (a treatment for the symptoms of benign prostatic hyperplasia), stannsoporfin (indicated for the treatment of neonatal hyperbilirubinemia), Infasurf® (for the prevention and treatment of neonatal Respiratory Distress Syndrome) and others”.
