Zydus Lifesciences Acquires LiqMeds to Enhance Oral Liquid Product Line

The acquisition, finalised through Zydus' subsidiary, Zydus Pharmaceuticals UK Limited, involved an initial payment of GBP 68 million, with additional payments contingent upon achieving predetermined milestones until 2026.

Zydus Lifesciences Limited, a pharmaceutical company based in Ahmedabad, has acquired UK-based LiqMeds Group of companies. 

The acquisition, finalised through Zydus' subsidiary, Zydus Pharmaceuticals UK Limited, involved an initial payment of GBP 68 million, with additional payments contingent upon achieving predetermined milestones until 2026. 

The LiqMeds Group, headquartered in the United Kingdom, operates through various subsidiaries, including LM Manufacturing Limited (LMML) in Weedon, Northampton, UK. LMML's oral liquids manufacturing facility supplies products to both the US and UK markets. The company specialises in the development, production, and global distribution of oral liquid products.

Commenting on the acquisition, Dr Sharvil Patel, managing director of Zydus Lifesciences, said, "The acquisition of LiqMeds allows us to cater to the growing market for oral liquid formulations. We believe these formulations address unmet needs and offer expanded market opportunities."

Following this acquisition, Zydus expects a positive impact on its earnings per share (EPS) from the first year onwards. 

Patel explained the significance of oral liquid formulations, stating, "These products provide enhanced convenience and improve therapy compliance, particularly benefiting geriatric and paediatric patients."

In a prior agreement, Zydus had authorised Sun Pharma to co-market a novel drug related to chronic kidney disease in India. This drug has been marketed by Zydus under the brand name Oxemia since 2022.

In a separate healthcare acquisition, Quality Care (QCIL), a hospital platform backed by private equity fund Blackstone, acquired KIMS Health Management (KHML), a prominent hospital chain in Kerala, India. 

This acquisition was valued at INR 3,500  Cr (approximately $400 million). QCIL is set to hold an 80-85% stake in KIMS post-acquisition, while Dr MI Sahadulla, the founder and promoter of KIMS, will retain a 15-20% stake and continue to manage the hospital business.

Additionally, Manipal HealthMap, the diagnostic arm of the Manipal Group, completed the acquisition of a 100% stake in Hyderabad-based Medcis PathLabs, aligning with its objective to become the leading integrated diagnostics services brand within the Manipal Group.