Hikma expands in the Algerian

RNS Number : 0219K

Hikma Pharmaceuticals Plc

12 April 2010

 



Hikma expands its manufacturing capabilities in Algeria

LONDON, 12 April 2010 - Hikma Pharmaceuticals PLC ("Hikma")(LSE: HIK, NASDAQ Dubai: HIK), the fast growing multinational pharmaceutical group, announces that  its wholly-owned subsidiary, Arab Pharmaceutical Manufacturing Company ('APM'), has signed an agreement to acquire the 50% stake that it did not previously own in the Algerian company Al Dar Al Arabia Pharmaceutical Manufacturing Company ("Al Dar Al Arabia") from the Jordanian pharmaceutical company, Dar Al Dawa, for a consideration of $18.5 million.  

 Al Dar Al Arabia was established in 2005 as a joint venture between APM, a wholly-owned subsidiary of Hikma, and Dar Al Dawa.  The company owns a 6,000 m² manufacturing facility that has recently been constructed to the highest international standards and approximately 21,000 m² of land in an industrial zone in Algiers.  Once operational, the Al Dar Al Arabia plant will double Hikma's manufacturing capacity in Algeria and will provide significant scope for further expansion.

Algeria is the second largest pharmaceutical market in the MENA region.  Following recent changes to regulations that encourage local production, it has become increasingly important for Hikma to expand its manufacturing capabilities in this country.  The acquisition will facilitate the expansion of Hikma in Algeria and will help to meet the rapidly growing demand for high quality drugs in the MENA region.

 The transaction is conditional upon the satisfaction of various legal requirements and official procedures and is expected to close at the end of June 2010.  The acquisition will be funded by existing cash resources.

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Enquiries

Hikma Pharmaceuticals PLC

Susan Ringdal, Investor Relations Director          Tel: [phone]

Brunswick Group            

Jon Coles / Justine McIlroy                                          Tel: [phone]

About Hikma

Hikma Pharmaceuticals PLC is a fast growing multinational group focused on developing, manufacturing and marketing a broad range of both branded and non-branded generic and in-licensed  products.  Hikma's operations are conducted through three businesses: "Branded", "Injectables" and "Generics" based principally in the Middle East and North Africa ("MENA") region, where it is a market leader, the United States and Europe.  In 2009, Hikma achieved revenues of $637 million and profit attributable to shareholders of $78 million.  For news and other information, please visit www.hikma.com.

 

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