Gulf Pharmaceutical Industries, the drug maker known as Julphar, acquired 100 per cent of Dubai based pharmaceuticals distribution company Planet Pharmacies as it aims to grow its business in the region.
Julphar, which previously held a 40 per cent stake in Planet Pharmacies, bought the remaining 60 per cent stake from Kamco Invest to complete the deal, it said in a statement on Tuesday.
“The strong network of Planet Pharmacies, which includes 235 pharmacy stores and two extensive distribution hubs, provides a unique platform for Julphar to secure new business expansion opportunities and gives a competitive advantage to the group within the regional healthcare sector to increase its overall market share, especially within the GCC,” Julphar said.
Planet Pharmacies is active in the UAE, Saudi Arabia and Oman with its strong pharmaceuticals distribution network.
“By fully acquiring Planet Pharmacies, we will create [an] end-to-end pharma value chain from production, manufacturing, distribution, and retail,” Essam Farouk, chief executive of Julphar, said. “This translates into competitive pricing and the efficient delivery of our quality products … and will also allow us to accelerate the growth of our business in the region.”
Julphar is a manufacturer of largely generic drugs which also makes insulin for diabetics and a range of personal care products. The company employs more than 2,400 people and distributes pharmaceutical products to more than 50 countries across the globe.
Listed on Abu Dhabi Securities Exchange, Julphar reported lower losses last year as revenue rose on the back of successful marketing strategies in neighbouring countries including Saudi Arabia, Oman, Bahrain and Kuwait.