Sunshine, Akbar form Sri Lanka pharma business stretching from R&D to retail
ECONOMYNEXT – Sri Lanka’s Sunshine Holdings and Akbar Brothers have combined their pharmaceutical units to create a combined entity that will stretch across the value chain from research and development to retail, the companies said.
Sunshine Holdings will have a 72 percent stake in the combined unit and Akbar 28 percent. Akbar Brothers will get 25 percent stake in Sunshine Healthcare. A 3 percent in the merged unit will go to Akbar for cash.
The combined entity will operate in R&D, manufacturing, importation, distribution and retail.
The combined healthcare business will be able to expand manufacturing capacity, scale-up production of existing and new molecules and work with regional pharma companies to drive tech transfers, a statement said.
Sunshine Healthcare Lanka, set up in 1967 provides registration to importation, customs clearance and temperature-controlled storage, sales and marketing, warehousing and pharmacy distribution.
Healthguard Pharmacy Ltd, a 100 percent unit of SHL, has a network of 22 pharmacies across Greater Colombo, offering pharmaceuticals, wellness and beauty products.
Akbar group will add Akbar Pharmaceuticals, Lina Manufacturing and Lina Spiro to the merged entity.
Lina Manufacturing is a 10-year-old pharmaceutical manufacturer. It is supplying drugs developed with the University of Sri Jayawardenapura, to the state hospital through a buyback agreement.
It makes drugs under the brands of Beclovent, Flutivent, Salbuvent, Prazolin, Winterpan and Ventohaler inhalers.
Lina Spiro makes technology-metered-dose inhalers which are certified to WHO-GMP standards and has export potential.
Akbar Brothers is a top exporter of tea and have interests in power generation, healthcare, packaging, property development and leisure.
Sunshine Holdings set up in 1967 is in healthcare and consumer sectors and has invested in agribusiness and renewable energy.
It owns brands such as Zesta Tea, Watawala Tea, Ran Kahata, Daintree and Healthguard Pharmacy, with over 2,300 employees. (Colombo/Dec17/2020-sb)