Elder Pharma - Going To Bulgaria

Elder Pharma Buys 51% In Biomeda Of Bulgaria

Mumbai-based Elder Pharmaceuticals has acquired 51% stake in Biomeda Group in Bulgaria for euro 5 million (around Rs 28 crore) in an all-cash deal. Biomedia has a turnover in the range of euro 10-12 million.

With the acquisition, Elder will see the launch of many more products in Europe. Biomeda is Elder’s second acquisition in less than 45 days. Earlier, Elder bought 20% stake in London-based NeutraHealth through subscription of shares worth about Rs 47 crore.

"Biomeda is an unique acquisition. It is a manufacturer of oral dosage formulations. The acquisition will provide us the right entry vehicle to enter the Bulgarian market, leveraging Elder’s robust EU product portfolio and pipeline. Elder will enjoy a pan-European presence, covering all the key markets of Europe," said Alok Saxena, director (international), Elder.

"The Bulgarian market's skilled labour, which has an advantage in terms of lower labour cost compared to other European countries, attracted us. Being a member of the European Union, patent rules are in line with EU standards. Corporate tax and VAT are among the lowest in central and eastern Europe with low production costs."

Elder Pharma - Developing Products For Men

Elder In Fray For Male Grooming Pie

As the nascent male grooming market evolves, a number of companies are launching products to garner a larger share of the over Rs 350 crore market. And the latest company to join this bandwagon is the Mumbai-based Elder group. Anuj Saxena, director, Elder group, said the company was planning to introduce a slew of new products in this category. These include face scrubs, post shaving healers and face washes. He added that the company may also look to tap the higher end of the market with specialised products like under-eye creams for men. These, he said could be developed in house or in partnership with existing international brands.

The company has just launched a men’s variant of its fairness cream, joining others such as Emami and Hindustan Lever who launched their brands last year. Saxena said the company was aiming for a turnover of Rs 15 crore for Fairone Men within the first year of its launch. The overall market for fairness creams in India is pegged at Rs 1,000 crore, with an estimated 25-30 per cent male users.

After being the first to launch a men’s fairness cream, Fair & Handsome, Emami has recently introduced two hair dyes at the lower end of the market, Mr Black and Mrs Black. The rationale: as men and women had different hair, their hair care products would need to have separate attributes. “A number of the new categories which will emerge, will be created by marketers, and not consumer needs,” said a marketing consultant. This then, is just a fraction of what can be expected over the next few years.

Elder Pharma - Launches Osteoporosis Drug

Elder Pharmaceuticals To Market Roche's Osteoporosis Drug 'Bonviva' In India

Elder Pharmaceuticals Ltd has informed BSE the Company has entered into an agreement for marking of an Osteoporis drug "BONVIVA" manufactured by F Hoffmann La Roche Ltd., Basle, Switzerland with their distributors for India, viz. Taksal. Roche announced that it has finalized an agreement for its new and novel postmenopausal osteoporosis drug Bonviva to be marketed by the Company in India.

Roche, based in Basel, Switzerland, is a research driven Company with high expertise in Oncology, Transplantation, Virology, Inflammatory and Autoimmune diseases and Osteoporosis. The Company is a fast-growing pharmaceuticals Company with leadership in the osteoporosis segment in India through its brand Shelcal, which is ranked 40th amongst top 100 brands in India.

Roche’s move to launch an osteoporosis drug in India comes in the wake of the rising incidence of the disease among Indians. It is commonly seen in women over 50 years of age who are in the postmenopausal life stage; however, a significant number of men are also reported to be suffering from this condition. It is estimated that nearly 30 million Indians are affected by osteoporosis, with women bearing the major brunt of this disease.

Bisphosphonates are the most widely prescribed treatments of osteoporosis. Bonviva, a potent and highly effective bisphosphonate1 is the first monthly oral prescription medicine. Patients need only take 12 tablets a year versus 52 or 365 required with current weekly or daily bisphosphonate treatments. This is particularly important as many patients find currently available osteoporosis therapy inconvenient, which may help to explain why up to two thirds of patients stop taking their osteoporosis treatment within a year2, foregoing the bone strengthening benefits these drugs can only provide over time3.

Launched in 2005 in USA and Europe, Bonviva - whose main active ingredient is Ibandronic Acid - belongs to a class of drugs called bisphosphonates and has a novel dosage regimen of just one-tablet-a-month. Roche, who in many markets is in co-promotion with GSK, is already marketing this product in more than 50 countries.

Says Dr. G L Telang, Managing Director Roche India, "We are very pleased to make available in India the once monthly Bonviva 150 mg tablet for postmenopausal osteoporosis. We can now offer women with postmenopausal osteoporosis an effective and more convenient regimen which may improve compliance leading to sustained bone strengthening benefits over time." Adds Mr. Alok Saxena, Director of the Company, "We have an expertise in marketing women's health care products in India and also an extensive distribution network reaching the micro interior towns and villages. Bonviva and Shelcal (calcium supplement) may be prescribed together in the treatment of osteoporosis thereby giving ready market to Roche’s product."

About Bonviva

• Bonviva, a potent bisphosphonate, has been studied to date in clinical trials involving over 12,000 patients.
• Bonviva is indicated for the treatment and prevention of osteoporosis in postmenopausal women through reduction of elevated bone turnover. increasing bone mineral density and reduction of the incidence of fractures.
• Once monthly Bonviva (known in the US as Boniva) was approved by US FDA in March 2005 and by the EMEA in September 2005.

Elder Pharma - Getting Bigger

Elder Pharma Eyes European Company

Elder Pharmaceuticals, one of the fast growing pharmaceutical formulation company, is getting ready to make its maiden overseas acquisition. The company, which has several product-marketing alliances and a few joint ventures with overseas companies, has now zeroed in on a generic company in Europe for acquisition.

Elder, which shortlisted three to four medium scale generic companies in the Europe, was currently in the final stages of discussions with one of them located in the UK, said sources close to the development. The deal, which would be in the range of Rs 80 to Rs 100 crore in value, was expected to be signed in two months, said sources. Confirming the move, an Elder Pharma executive said that the company was scouting for a suitable base in the European market but that the company could not divulge more details at the time.

Elder Pharma, which has been following a mixed business model of own products and inlicensed products focusing mainly on the domestic market, is now looking at the growing generic market abroad, especially, in Europe to leverage its manufacturing capacities in India. The company had recently set up joint ventures in Nepal and Ghana.

The Rs 400-crore company has also set a target of achieving a significant growth in its export business. Last month, it entered into an in-licensing agreement with an Australian company Rye Pharmaceuticals to develop, manufacture and market the latter's wound care products for first aid and burn applications in India. Rye Pharma is a pioneer in self-researched wound care, first aid and skin care products, selling them in 28 countries around the world. With the inlicensing agreement, Elder will be launching the burn therapy product – BurnAid of Rye in Indian market. BurnAid, a range of burn gels, gel dressings and burn kits, offer rapid cooling to the burn and offer fast ongoing pain relief.

Elder is also working out plans to manufacture the product and similar other products of Rye in India at its newly-set up Uttaranchal facility.