Dubai Investments has announced the divestment of 66 percent equity stake in its pharmaceutical subsidiary Globalpharma Co.
The investment firm said it will continue to hold 34 percent equity after selling the remaining stake to an investor group led by Sanofi, a global healthcare company headquartered in France. The value of the deal was not disclosed.
Under the deal, Globalpharma will be managed as a Sanofi company and will become the platform to manufacture and promote the generics portfolio of Sanofi in the Middle East markets, a statement said.
Khalid Bin Kalban, managing director and CEO of Dubai Investments, said: “Our investment in Globalpharma was well timed as we capitalised on the rapid growth in the pharmaceutical sector in the region. With the direction and support of DI, the management executed a successful strategy which has attracted a lot of strategic interest. This created the opportunity for our successful sell-down.”
He added: “We believe that the new partnership being forged with Sanofi will propel Globalpharma to the next level of its growth."
DI commercialised Globalpharma in 2003 and the company is currently registered in more than 14 countries across the GCC, Middle Eastern and neighbouring markets. It manufactures pharmaceutical products including antibiotics, cardiovascular, anti-ulcerants, painkillers, food supplements, vitamins, anti-diabetics, respiratory products and anti-allergic formulations.
Globalpharma has achieved healthy double-digit growth year-on-year since 2010, the statement said.
Kalban added: “The divestment in Globalpharma is part of our strategy to continuously create value for our stakeholders. This strategic divestment and agreement with Sanofi will help grow Globalpharma’s capabilities in the region and ensure that it is meeting the needs of the regional healthcare industry.”For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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