Valeant to close $180m Natur Produkt acquisition deal

Canadian pharma major Valeant Pharmaceuticals International has signed an agreement to acquire Russian over-the-counter (OTC) specialty pharmaceutical company Natur Produkt International for nearly $180m.

Valeant said that it will invest additional $5m in the potential future milestones with the deal expected to close by mid 2012.

The firm added that the deal is subject to certain closing adjustments and regulatory approvals.

Valeant which reported 2011 revenue of nearly $65m claims to achieve a double digit growth $175m in annual sales in Russia by end 2012.

Natur Produkt offers various OTC products under brands such as AntiGrippin, a leading cough and cold remedy, Anti Angin, Sage and Eucaplyptus MA sore throat remedies.

Valeant Pharmaceuticals chairman and chief executive officer J. Michael Pearson said that the acquisition of leading consumer franchise will help the firm to expand its operations in Russia.

"Not only is the OTC market very attractive in Russia due to the self-pay element, but it is also one of the fastest growth components of the Russian healthcare system. The addition of this high-growth operation, along with our previously announced acquisition of certain assets from Gerot Lannach, will bring our pro forma revenues in Russia to approximately $175m by the end of 2012," added Pearson.

In March 2012 Valeant also agreed to buy Austrian drug firm Gerot Lannach’s generic aspirin and other products.