According to sources, EFG Hermes’ Rx Healthcare platform has commenced transaction processes on a number of highly promising opportunities in injectables and other generic pharma segments.
The sources told Daily News Egypt that negotiations regarding the acquisition are still ongoing, with potential aggregate deal values exceeding EGP 1.5bn, supporting the platform’s strategy of expanding its investments in the pharmaceuticals sector and capitalising on the track record achieved in U Pharma.
In related news, they added that Rx Healthcare’s U Pharma (UP) successfully closed FY2021 and recorded a ramp up in sales with LVP volumes almost doubling on an annual basis.
In the first half (1H) of FY2022, the company has further diversified its distribution network, with its largest customers in the tender segment representing less than one third of total sales, while sales contributions of key distributors combined has exceeded +50% of total sales.
Furthermore, UP successfully further increased its market share and market ranking as per IMS estimates and held its position as the market leader in the LVP hospital solutions space in 1H 2022.
It also recorded a sales growth of +56% y-o-y compared to 1H 2021, exceeding several established market peers.
Additionally, Rx Healthcare’s team successfully concluded further financial optimisations to the company, securing new facilities with favourable terms to support the company’s business growth in the third quarter (3Q) of 2022 and onwards.
Finally, the sources asserted that a full facility upgrade plan remains well on track and has almost been fully implemented across all work streams. All upgrades of the existing facility are on track to be finalised by the end of 2H 2022 as well, setting up the necessary capabilities to drive the company’s upcoming growth plans.
UP continues to further expand its product portfolio by adding complimentary essential products (such as anesthetics, and higher value added injectables) to serve the hospitals segment; as well as synergistic hydro-based products serving the B2C segment.