Endo To Acquire Mexico-Based Specialty Pharma Company Somar
Endo International announced that it has signed a definitive agreement to acquire Grupo Farmaceutico Somar, a privately owned specialty pharmaceuticals company based in Mexico City, Mexico. The company said its acquisition of Somar will help Endo diversify its business offerings and increase its positioning outside the U.S.
Rajiv De Silva, president and CEO of Endo, said, “The transaction provides Endo with a strong growth platform in Mexico that we believe can be further leveraged more broadly in Latin America, a proven sales team, and scalable manufacturing facilities. This acquisition allows us to fully benefit from the starting point that Paladin Labs established in Mexico. We look forward to leveraging Endo's global resources to take full advantage of Somar's robust pipeline, which currently includes over 60 products expected to launch over the next three years.”
Somar is a specialty pharmaceutical company that develops and markets drugs across in Mexico. The company’s portfolio targets Mexico’s non-patented pharmaceutical market through three primary segments: generics, branded generics, and OTC. The generic segment includes private label and traditional generics as well as products for government tender. Branded generics cover dermatology and infectious disease platforms. OTC includes women’s health and child care products. Somar employs approximately 1,200 people and generated an estimated $100 million in revenue last year.
Jose Miguel Ramos R., CEO of Somar, said, “We are excited about the combination with Endo, joining a best-in-class global organization with access to valuable resources that will help us realize the full potential of our opportunities across branded, generic, and OTC pharmaceuticals in Mexico and Latin America more broadly. Our team is dedicated to developing and marketing new and effective treatments that improve patients' lives. I am confident that Endo's commitment to building sustainable businesses will be invaluable as we continue forward with our mission."
The transaction is expected to be completed by the end of the third quarter in 2014.