Elder Pharma appoints Deloitte to restructure biz and brands

Elder Pharmaceuticals has appointed consulting firm Deloitte for restructuring the company and its brands including 'Eldervit' following the sale of its formulation business to Torrent Pharmaceuticals for Rs 2,004 crore.

The company's overall strategy is to focus on its remaining brands including Eldervit and Somazina and position itself further in the growing nutraceuticals segment by launching more products, Elder Pharma said in a statement today.

As per the deal, major chunk of Elder Pharma's employees will be joining Ahmedabad-based Torrent Pharmaceuticals after March 31 and would need an organisational restructuring.

It will be part of Deloitte's consultancy job, the statement added.

Besides, the company is also planning to concentrate and build on its domestic business of anti-infectives, strengthen its in-license portfolio and grow its business in the UK and Europe.

At the same time, it would explore the possibility of entering new therapeutics areas, said Elder Pharma.

On December 13, 2013 the Mumbai-based firm had announced it would sell its branded formulation business, comprising 30 brands, to Torrent Pharmaceuticals for Rs 2,004 crore.

The deal, which has been approved by the boards of both companies, is expected to close in the first half of 2014.

"Given the strategy to focus on key brands and key areas, and to re-structure and re-strategise the brands and people, Elder Pharma would easily increase its revenues and profitability," the company's CMD Alok Saxena said.

Shares of Elder Pharma were trading at Rs 189.75 apiece, down 0.26 per cent from its previous close, during afternoon trade on the BSE.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • This is right time for retail investors to enter the debt market

    Quite often, retail investors are ridiculed for entering the equities market in droves, signalling the first signs of a bubble on the Street.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Arun Nigavekar

Cost of education must be controlled

In India, we pay very little attention to the cost ...

Zehra Naqvi

What imperfections in nature teach man

Each one of us has faced a time when we ...

Dharmendra Khandal

A wondrous world under the ground

Burrows and dens are safe homes for many kinds of ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture