Zentiva buys into Hungarian market

Czech drugmaker Zentiva says that it has entered the Hungarian pharmaceutical market through the acquisition of certain generic products, personnel and other operating assets from the French pharmaceutical major Sanofi-Aventis. The move into the Hungarian market is in line with Zentiva's strategy of extending its geographic reach in the region, as it moves towards its target of becoming the leading pharmaceutical company in central and eastern Europe. Financial terms of the deal were not disclosed.

As the starting point for the expansion of its Hungarian operations, Zentiva's subsidiary has acquired a total of 23 products, which had sales of around 11.0 million euros ($14.5 million) in 2006. In addition, Zentiva and Sanofi-Aventis have agreed that some supporting functions will be transferred alongside these products. The Czech group expects to grow its presence in Hungary as the firm introduces more of its own successful branded generic products targeting primary care.

Zentiva says that the acquired business provides it with access to the Hungarian market, which is an attractive growth opportunity. This acquisition will allow the company to continue its growth in the CEE by executing its primary care focused strategy.