Piramal Enterprises shares rose after the company announced the acquisition of five trademark rights for India from Organon India Pvt. Ltd. and MSD BV. for a consideration of INR 92 Crore.
The acquisition includes mainly the brands Naturolax, Lactobacil and Farizym, which PEL intends to continue in the Gastro-Intestinal (GI) segment through the over-the - counter (OTC) route.
The brands hold a rich legacy in India and have a high consumer pull. The Indian OTC market is approximately INR 15000 Cr in Size growing at 13-14%.
Nandini Piramal, Executive Director, Piramal Enterprises said, "Our aim is to be a significant player in all the businesses we have retained in the Healthcare segment of Piramal Enterprises Limited. We are one of the largest Custom Manufacturing Companies and have manufacturing bases in North America, European Union and Asia.
The business has grown rapidly at 24% over the past 6 years and is now ranked 7th amongst all OTC companies in India. In line with our Strategy, we aim to be a Top 3 player in the OTC market by 2020 and the addition of this portfolio of brands will help us move swiftly towards that objective.
Recently the company also acquired the babycare brand Little's, which provides well-being solutions for kids up to the age of 4 years.
Shares of the company were seen trading at Rs 953, higher by 1.08 per cent on BSE at 12.34 pm IST. It touched an intra-day high of Rs 959 during the trade.