Aurobindo has acquired the domestic formulations business of Veritaz for Rs 171 crore. With this acquisition, Aurobindo is poised to set its footprint in the Indian domestic formulations market and help the company launch and market biosimilars and other products in India, the company said in a statement.

Veritaz is a 10+ years old business with a turnover of Rs. 133 crore for the period of 9 months ended Dec ’21 and it had a turnover of Rs. 127 crore for the full year FY 21. The addressable market of Veritaz’s current product portfolio is around Rs.26,775 crore which is an interesting space for Aurobindo to grow its business, the company stated in its release.

Veritaz has around 40 brands marketed across the acute and critical care therapeutic segments. The total trademarks registered in its name are around 180. Its largest brands are Fepanil and Merogram group which clocked a revenue of around Rs.31 crore and Rs.20 crore up to December 2021 respectively.

Currently, Veritaz caters anti-infective and pain-management therapeutic areas and has a pipeline of products to enter into the Cardio/Diabetic and Ortho/Gynecology segments. Veritaz has an existing sales and distribution network with 900 field force, covering more than 50k retailers with nearly 1700 stockiest, presence in 23 cities, reaching out to more than 70,000 doctors and empanelled with major hospitals. 

Commenting on the development, K. Nithyananda Reddy, Managing Director, said: “I am pleased to announce Aurobindo’s entry into the domestic market with this acquisition; with this acquisition, we strongly believe that with Aurobindo’s ability to build a product portfolio, and with the existing and expanding distribution network of Veritaz, we will be able to create a significant foot print in the domestic pharma market over the next few years”.