Philab Holdings Corp. plans to acquire 67 percent of local pharmaceutical firm Sydenham Laboratories Inc. for an undisclosed amount.
Philab said in a disclosure to the stock exchange the acquisition, which is subject to due diligence and regulatory approvals, would broaden the company’s current product offerings.
“The acquisition of Sydenham Lab enables Philab Holdings to broaden our service offering to the Filipinos. SLI’s specialty in manufacturing pharmaceutical products will enhance our product services, especially in providing universal healthcare for the Filipinos and expanding the generics line,” said Philab Holdings chairman and president Tom Navasero.
With over 40 years in the industry, SLI is the country’s only manufacturer of hormone-based drugs. It specializes in oral drug preparation in dosage forms, such as tablet, capsule, syrup and powder for suspension.
The company is known for its long line of drugs, with having over 300 certificates of product registration. Its line of business also includes production of food additives, which are used for their added nutritional benefit and served in rural schools for less fortunate children.
SLI also offers a variety products focused on the central nervous system, endocrine system, cardiovascular system, and several medicines to cater the needs of its consumers.
Philab Holdings after the merger plans to launch a program in support of precision medicine that will enable both companies to maximize their synergies and prowess in the field of healthcare.
Philab is confident the merger would pave the way for an even more competitive line of generic drugs in the Philippine market and a lower price alternative.
“We are confident that the joint efforts of SLI and Philab will bolster a more competitive quality of medical products in the Philippine healthcare market”, SLI finance and administrative director Nina Atienza said.
“This collaboration will enhance the quality of our product array by delivering more options to the community,” she added.
Meanwhile, Philab said its board approved the issuance of additional 100 million shares at subscription price of P2.50 apiece to Epitrek Ventures Ltd., an existing shareholder of the company.
Philab plans to use the proceeds of the sale to fund the company’s growth capital, expansion plans and healthcare related acquisitions.