Piramal acquires Digeplex from Shreya Lifesciences
MUMBAI: Piramal Enterprises acquired the Digeplex and the associated brands from Shreya Lifesciences for an undisclosed sum to expand its consumer products business.
The acquisition will help the Ajay Piramal-led company expand its gastrointestinal product portfolio.
"We believe Digeplex and its associated brands are a strategic fit for our portfolio that will help us move closer towards our stated objective," executive director Nandini Piramal said.
She said the company's aim is to be a significant player in the healthcare segment and this acquisition is an important route for the same and in the last two years, it has completed three such transactions in the consumer products business alone.
The combination of organic growth and acquisitions has helped the company create a powerful over the counter portfolio of brands in the country, she added.
Chief operating officer for the consumer products division Kedar Rajadnye said the gastrointestinal market comprising constipation, diarrhoea, and appetite stimulant categories, is a Rs 13,000-crore opportunity which has been clipping at 11 percent every year.
He claimed the company already has established antacid brands of Polycrol, and Naturolax, an isabgol husk based brand which helps in treating constipation and the acquisition will help it enlarge the offerings.
In a statement, the company said the acquisition will leverage the strong sales and its distribution capability and help improve profit margins.
Piramal Enterprises' scrip was trading 0.73 per cent down at Rs 2,784.75 a piece on the BSE, as against 0.64 per cent correction in the benchmark.