Aurobindo Pharma on Monday said it is acquiring a product under development and related research and development (R&D) assets from Advent Pharmaceuticals Pty Ltd of Australia.

The $12.5 million acquisition will lead to enhancement of R&D capabilities in complex speciality generics, the company said in a regulatory filing.

The acquisition, providing an opportunity to acquire assets that would be used for speciality generics business, is to be undertaken through AuroScience Pty Ltd, Melbourne, a wholly owned subsidiary of Aurobindo Pharma USA Inc.

Advent Pharmaceuticals is into the business of R&D in complex speciality generics. According to the Australian firm’s website, the company was founded in 2001 with the aim of developing generic inhalation products for global markets.

With regard to turnover of the target entity, Aurobindo Pharma said certain R&D assets were being acquired and “no revenues [were] generated during the 12 months ended September since it is engaged in R&D activity.” No sales were expected in the first 12 months of the acquisition, the filing said.

The transaction is expected to be completed by January 2019.

Besides the acquisition, Aurobindo Pharma also announced results for the quarter ended September, a period that saw it clocking a consolidated net profit of ₹.611.44 crore. This was a decline of 21.70% compared to the ₹780.97 crore registered during the year earlier period.

Total income of the company increased by 7.45% to ₹4,777.66 crore (₹4,446.16 crore). Total expenditure was ₹3,964.20 crore (₹3,468.36 crore). The Board of Directors also approved an interim dividend of 125% or ₹1.25 per equity share (of ₹ 1 each), the company said.

source: http://www.thehindu.com / The Hindu / Home> News> Cities> Hyderabad / by Special Correspondent / Hyderabad – November 13th, 2018