Latest News | Eris Lifesciences Acquires 9 Dermatology Brands from Dr Reddy's for Rs 275 Cr

New Delhi, Mar 16 (PTI) Eris Lifesciences on Thursday said it has acquired nine dermatology brands from Dr Reddy's Laboratories for Rs 275 crore.

The acquired brands are largely in cosmetology segments like anti-acne, moisturisers, cleansers, anti-ageing, hair health, melasma etc, it said in a statement.

Also Read | Shares of Eight Adani Group Firms Settle With Gains; Adani Enterprises Rallies Over 5%.

Post this deal, Eris will rank third in the dermatology market with a market share of 7 per cent, it added.

Eris entered the dermatology segment through the acquisition of Oaknet Healthcare for Rs 650 crore in May last year and strengthened the franchise with the acquisition of nine dermatology brands from Glenmark in January this year for Rs 340 crore.

Also Read | India's Exports Dip 8.8% to USD 33.88 Billion in February 2023.

The company said it has invested Rs 1,265 crore in acquisitions in the current fiscal to build its dermatology franchise.

"Starting with our inception in 2007, it took us 13 years to add the 'First 1000 crore' of revenue. However, we are adding the 'Next 1000 crore' of revenue in just four years by deploying our internal cashflows along with external funding to drive a mix of organic and inorganic growth while protecting our margins," Eris Lifesciences Chairman and Managing Director Amit Bakshi said.

The transaction will be financed through borrowings and will achieve financial closure in the next few days, the drug firm said.

In a separate statement, Dr Reddy's Laboratories said Eris Lifesciences will be assigned the trademark of the brands.

"Today's announcement is in line with our stated intention of pursuing a strategy that involves growing brands organically combined with acquisitions that are a strategic fit and divestment of non-core brands," Dr Reddy's Laboratories CEO - Branded Markets (India & Emerging Markets) MV Ramana said.

This deal is a further step towards consolidating the company's core, he added.

Shares of Eris Lifesciences on Thursday settled 0.84 per cent down at Rs 586.15 apiece on the BSE.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)