NOVOPHARM LTD. TO ACQUIRE GRANUTEC INC.
TORONTO, May 25 /PRNewswire/ -- In a strategic move to build its presence in the United States generic OTC drug market, Novopharm Ltd., Canada's leading manufacturer of branded generic drugs, has agreed to acquire Granutec Inc. from Roussel Uclaf Holdings Corporation. The acquisition is expected to be completed June 30. According to Leslie Dan, chairman and CEO of Novopharm Ltd., this is the first in a series of steps that will eventually see Wilson, North Carolina, Granutec's headquarters, as the base for Novopharm's U.S. manufacturing. "Our future plans include building new manufacturing facilities in Wilson and enlarging our facilities in Largo, Fla. This will result in more than doubling the production capacity of the facilities, increased local employment, as well as an expanded market for Novopharm," says Dan. "The facilities will be used to manufacture both our line of branded generics as well as the innovative pharmaceuticals that are currently under development." Granutec Inc., with 210 employees, had sales of $32 million U.S. in 1992 and forecasts sales of $40 million U.S. for 1993. The company will operate independently as a subsidiary of Novopharm Ltd. headquartered in Toronto. The addition of Granutec to the family of Novopharm companies, which include: Stanley Pharmaceuticals (Vancouver), Novopharm U.S.A. Inc. (Chicago) and Novopharm Biotech (Winnipeg), will enhance Novopharm's position as a leader in the generic and private label fields, approaching a sales volume of Can. $300 million (US $240 million). Novopharm is engaged in the production of branded generics, sold in Canada, the United States and around the world. The company is acquiring innovative pharmaceuticals by licensing and is developing its own line of innovative biotechnology products, concentrating on the treatment of cancer ailments. In addition, its Stanley Pharmaceuticals subsidiary has a large private label OTC business. Novopharm is a privately owned company. -0- 5/25/93 /CONTACT: Leslie Dan, chairman & CEO of Novopharm Ltd., 416-291-8876, or fax, 416-291-2162; or Michel Baudet, president of Granutec Inc., 919-291-9100, or fax, 919-291-5817/
CO: Novopharm Ltd.; Granutec Inc. ST: Ontario IN: MTC SU: TNM
SM -- NY020 -- 2063 05/25/93 10:01 EDT
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|Date:||May 25, 1993|
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