Financial Daily
from THE HINDU group of publications

Tuesday, July 24, 2001



Corporate | Next | Prev

American Remedies, DRL merger complete

Our Bureau


DR Reddy's Laboratories Ltd (DRL) has announced here on Monday that the merger of American Remedies Ltd (ARL) with it has been completed with both Chennai and the Hyderabad High Courts approving the scheme of amalgamation. The merger would come into effe ct retrospectively from April 1, 1999.

Earlier during March 1999, the boards of DRL and ARL, at separate meetings, approved the proposed scheme of merger at a swap ratio of one share of DRL for every 12 shares of ARL.

Subsequently, the DRL shareholders approved the merger at a court-convened general meeting on May 31, 1999, while ARL shareholders cleared the scheme at their meeting held on July 15, last year.

In a press communique, DRL stated that the marketing and sales teams of both the companies were integrated during the current fiscal year. Further, the combined team was divisionalised into four operational groups -- Xenura, Recura, Acqura and Natura -- with each group focussing on specific therapeutic segment.

Following the merger of ARL with it, the turnover of DRL in the domestic formulations market stands at Rs 361 crore for the fiscal ended March 31, 2001. According to the DRL release, the brand portfolios of two companies strongly complement each other.

DRL, which currently holds 87 per cent equity in ARL, expects the merger to enhance its retail penetration by strengthening trade network across the country.

Comment on this article to

Send this article to Friends by E-Mail

Next: Eco-friendly atmosphere at Tata steel plant
Prev: Dr Reddy's into biogenerics

Agri-Business | Commodities | Corporate | Industry | Letters | Macro Economy | Markets | News | Opinion | Variety | Info-Tech | Catalyst | Investment World | Money & Banking | Logistics |

Page One | Index | Home

Copyrights © 2001 The Hindu Business Line.

Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line.