MONEYCONTROL NEWS JUNE 06, 2023 / 09:51 AM IST

The strategic investment by Indoco marks a significant milestone, solidifying its position as a key player in the US market.

Indoco Remedies shares were trading with marginal gains in the early business hours on June 6 after the company's board cleared its acquisition of 85 percent equity stake in FPP Holding Company.

Indoco Remedies has acquired 85 percent of equity stake in the US-based FPP Holding Company, LLC for $4 million from Contract Pharmacal Corp.

FPP Holding is the holding company of Florida Pharmaceutical Products, LLC, and engaged in marketing and distribution of generic pharmaceutical products in the US.

The strategic investment by Indoco marks a significant milestone, solidifying its position as a key player in the US market.

“This development will facilitate exchange of knowledge and best practices, further enhancing the overall competitiveness and growth potential of both organizations. Leveraging FPP's well-established distribution network, Indoco will have a greater reach and accessibility to a wider US customer base,” said Aditi Panandikar, Managing Director – Indoco Remedies.

The company’s Clinical Research Organisation, AnaCipher, located in Hyderabad, was inspected by the United States Food and Drug Administration (USFDA) in July 2022. The regulator has confirmed that no objectionable conditions were observed during their remote assessment, the company said in a June 4 statement.

At 9:24am, Indoco Remedies was quoting at Rs 335.00, up Rs 1.45, or 0.43 percent on the BSE.

The share touched a 52-week high of Rs 423.10 and a 52-week low of Rs 307 on January 2, 2023 and April 26, 2023, respectively. It is trading 20.82 percent below its 52-week high and 9.12 percent above its 52-week low.