Photo by: Bloomberg
In the biggest investment by an Indian company in South Africa, Mumbai-listed pharmaceutical group Cipla India will acquire 100% of South Africa’s Cipla Medpro for R5-billion.
Merchant banker for the acquisition Rand Merchant Bank (RMB) said the acquisition would strengthen Cipla Medpro’s position in the local market, support expansion into other African markets and boost the company’s manufacturing capability.
The transaction was expected to create strong growth opportunities for both companies and would ultimately improve continental access to a broader range of medicines.
RMB CE Alan Pullinger said it was gratifying for the bank to be part of a significant cross-border transaction in the strategic India/Africa corridor.
“We believe there will be many more transactions between Indian and South African corporates, given the similarities in the business environments," he commented.