Insatiable Actavis acquires Sindan

Icelandic pharmaceutical company Actavis has made another foray into the European generic drugs market, saying that it has agreed to acquire Sindan, a Bucharest, Romania-based copy drugmaker specializing in the manufacture and distribution of oncology products, for a total consideration on a debt-free basis of 147.5 million euros ($177.1 million) in cash.

Listing the benefits of the purchase, Actavis says it will gain access to Sindan's marketing and distribution network in six countries, with seven new entries planned in 2006, as well as low-cost manufacturing and development facilities from which it can leverage a cost efficient platform to drive future growth and expansion. It will immediately have a position in the rapidly-expanding oncology industry which is expected to be the fastest-growing pharmaceutical segment over the next three years.

Actavis adds that it will become one of the leading players in the Romanian market, which is expected to grow faster than most other European regions in the coming years (see also story alongside on Ranbaxy's Romanian acquisition). There is no overlap between the two companies and Sindan's strong oncology product portfolio complements Actavis' strengths in oral solid-dose products, says the Icelandic firm, which just a week earlier had made a hostile bid for Croatia's Pliva (Marketletter March 27), which the latter has rejected as undervaluing the company. Actavis has also recently acquired Hungary's Keri Pharma, Bulgaria's Higia, Denmark's Ophtha and, in the USA, Amide Pharmaceuticals and Alpharma's generics business.