Pliva announced today that its affiliated company in Germany, AWD.pharma GmbH & Co. KG., has signed an acquisition agreement for the company O.R.C.A.pharm GmbH, a private specialty pharmaceutical company focused on the oncology drug market in Germany.
Upon completion of the transaction, AWD will pay a fixed price of 21 million euros and an additional maximum of 13 million euros upon achieving certain profitability targets for 2007 and 2008, as stated by Pliva. "By acquiring ORCApharm, which is well-positioned in the German oncology drug market, we have gained a strategic platform for entering the highly lucrative oncology drug market in Germany and strong support for our corporate strategy focused on products with higher market barriers, and thus greater value," said Pliva’s CEO and Chief Operating Officer Željko Čović.
Pliva also emphasizes that the acquisition of ORCApharm and its existing portfolio supports Pliva’s commitment to the European oncology drug market and strengthens its position gained through its affiliated company in the Czech Republic, Pliva Lachema, which is focused on the development, production, and distribution of vertically integrated injectable cytostatics. Pliva is confident that additional synergies will also be achieved by expanding ORCA’s portfolio with selected Pliva and Barr products that complement oncology therapy, such as analgesics and central nervous system drugs. The acquisition of the German company ORCApharm by Pliva’s affiliated company AWD is the first such acquisition that Pliva announces after its connection with Barr Pharmaceuticals. Barr’s acquisition of Pliva was completed in the fall of last year since which Pliva has become part of the Barr group.
