Bird & Bird has advised Elder Pharmaceuticals Limited (“Elder”), a company listed on the Mumbai stock exchange, on its proposed acquisition of AIM-listed Neutrahealth plc (“Neutrahealth”) for £12.2 million. Elder, one of the fastest growing pharmaceutical companies in India, is engaged in the manufacturing and marketing of a wide range of pharmaceutical products and their distribution through licensing agreements with international pharmaceutical companies. Neutrahealth is a successful consolidator in the nutraceutical market which includes vitamins & supplements, functional foods, organic foods and certain alternative remedies.
Elder’s proposed acquisition, to be effected by means of a Court approved Scheme of Arrangement, will provide it with the opportunity to enter into new European markets, introduce Neutrahealth into the Indian market and to realise the cost-efficiencies associated with supplying Neutrahealth directly with the raw materials and active pharmaceutical ingredients required.
Simon Fielder, Partner, Bird & Bird, London, commented: "We continue to see a visible upturn in M&A activity across the SME market so we are pleased to have been able to assist Elder on its proposed acquisition of Neutrahealth, which represents a significant growth opportunity for the group, both in terms of its entrance into Europe and the continuing cost-efficiencies this deal presents.
“This deal is another example of our team’s ability to offer relevant in-depth experience, in this case working together with, and drawing upon the expertise of, our Asia Consultant Nipun Gupta.”
Nipun Gupta, Co-Head of the India Group, commented; “This is another example of the work we do for Indian companies on AIM transactions which is an area which we have seen growing in recent years. Our international capabilities put us in an ideal position to work on outbound M&A transactions such as these and we were pleased to aid Elder in this very significant acquisition.”
The Bird & Bird team was led in London by Corporate partner Simon Fielder, assisted by Divya Sharma, Ed Rainsford and Philippa Lambert.