Philab to buy local pharma firm Sydenham Laboratories.
PHILAB Holdings Corp., a seller of health-care kits to mostly government organizations, said it is acquiring a majority stake in local pharmaceutical firm Sydenham Laboratories Inc.
The company said it is acquiring 67 percent of Sydenham, which has more than 40 years in the industry and is the country's only manufacturer of hormone-based drugs and specializes in oral-drug preparation in dosage forms, such as tablet, capsule, syrup and powder for suspension.
The said acquisition is still subject to results of its due diligence and regulatory approval. The company did not give details on the acquisition price.
'The acquisition of Sydenham Lab enables Philab Holdings to broaden our service offering to the Filipinos,' Philab Chairman and President Tom Navasero was quoted in a statement as saying. 'SLI's specialty in manufacturing pharmaceutical products will enhance our product services, especially in providing universal health care for the Filipinos and expanding the generics line.'
Sydenham is known for their long line of drugs, with having over 300 certificates of product registration. Their line of business also includes production of food additives utilized for its added nutritional benefit and served in rural schools for less-fortunate children.
After this merger, Philab said it plans to launch a program in support of precision medicine that will enable both companies to maximize their synergies and prowess in the field of health care.
Navasero said with this program, a new area of pharmacogenomics will be developed, an innovation in health-care technology which allows individuals to determine the most effective medication therapy treatment based on their genetic makeup.
'The future of pharmaceuticals will be personalized through your genetic makeup. It is the goal of Philab Holdings, through the acquisition of Sydenham Lab, to lead in precision medicine and pharmacogenomics in Asia,' Navasero added.
Philab said it is confident that this merger will also pave the way for an even more competitive line of generic drugs in the Philippine market, a lower price alternative.
Philab's board, meanwhile, approved and authorized the issuance of 100 million common shares out of the unissued authorized capital stock of the company to Epitrek Ventures Ltd.
The common shares will have a subscription price of P2.50 per share, or an aggregate subscription price of P250 million.
The outstanding capital stock of the company shall increase from to 2.16 billion shares from 2.06 billion shares.
As a result, the shareholdings of Epitrek, already an existing shareholder of the company, shall increase to 200 million common shares from 100 million common shares, which correspond to 9.2 percent of the outstanding capital stock of the Philab.
'Proceeds raised will be used to fund the company's growth capital, expansion plans and health care-related acquisitions. Philab Holdings will focus on rolling out technology that will advance affordable primary health care, diagnostics and genetics facilities in rural areas,' the company said.
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|Publication:||Business Mirror (Makati City, Philippines)|
|Date:||Dec 11, 2017|
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