Pharma/Fine Chemicals Roundup – August 14
9:04 AM MDT | August 14, 2012 | By DEEPTI RAMESH
CAMBREX REPORTS HUGE RISE IN PROFITS
Cambrex (East Rutherford, NJ) reported a more than doubling in net profits for the second quarter, ended June 30, 2012, compared with the year-ago quarter, to $9.92 million. Net sales for the quarter increased 14%, to $76.3 million, primarily due to higher sales volumes of controlled substances and generic active pharmaceutical ingredients (APIs), Cambrex says.
CIPLA INVESTS $90 MILLION TO BUILD THREE API FACILITIES
Indian pharmaceutical major Cipla (Mumbai) announced in its annual report that it is building three API manufacturing facilities at Patalganga, Bangalore, and Kurkumbh, in India. The facilities will involve a total investment of about Rs5 billion ($90 million), Cipla says. The facilities are expected to become operational by the end of the fiscal year, ending March 31, 2013.
AMPAC FINE CHEMICALS REPORTS OPERATING PROFITS
Ampac Fine Chemicals (AFC; Rancho Cordova, CA), a subsidiary of American Pacific (Las Vegas), recorded an operating profit of about $5.2 million in its fiscal third quarter, ended June 30, 2012, compared with an operating loss of $500,000 in the corresponding period of the previous fiscal year. Third-quarter sales increased 18.1%, to $36.4 million. In the fiscal first nine months, ended June 30, AFC recorded sales of $78.4 million and operating profits of $3 million, compared with sales of $60.8 million and an adjusted operating loss of $7.8 million in the first nine months of the previous fiscal year.
RANBAXY’S API BUSINESS REPORTS FALL IN SALES
The API business of Ranbaxy Laboratories (Gurgaon, India) recorded sales of $31 million in the second quarter, ended June 30, 2012, compared with sales of $48 million in the year-ago quarter. Earnings figures for the API business were not disclosed. During the quarter, Ranbaxy made 36 drug master file (DMF) submissions for APIs.
HIKAL REPORTS HUGE FALL IN PROFITS
Hikal (Mumbai), an outsourcing partner to companies in the pharma, biotech, agchem, and specialty chemical industries, recorded a 66% fall in net profits for its fiscal first quarter, ended June 30, 2012, compared with the year-ago quarter, to Rs50 million ($900,000), largely due to foreign exchange losses. First-quarter sales increased 16%, to Rs1.65 billion. Hikal’s pharmaceutical business recorded a 1% increase in first-quarter sales, to Rs960 million. The company's crop protection business reported a 45% increase in sales, to Rs690 million. “Our revenues are up by 16% and our crop protection business has grown significantly, by 45%, this quarter on the back of increased demand from our customers. Ebitda for this quarter has increased considerably, by 31%. However, due to the significant depreciation of the rupee versus the U.S. dollar, our net profit has decreased on account of the forward contracts and hedges booked in the prior year,” says Jai Hiremath, chairman and managing director of Hikal. “The effect of these hedges will decrease substantially during the second half of the year. The forecast from our customers for the remaining year is encouraging and we expect to sustain our growth.”
BRISTOL-MYERS SQUIBB COMPLETES $5.3-BILLION ACQUISITION OF AMYLIN PHARMACEUTICALS
Bristol-Myers Squibb (BMS; New York) says it has completed the previously announced acquisition of biopharmaceutical company Amylin Pharmaceuticals (San Diego). BMS announced last June that it would acquire Amylin for $31/share through a tender offer and a second step merger for a total purchase price of about $5.3 billion. BMS says it has acquired all the outstanding shares of Amylin through the tender offer and a “short form merger”. BMS intends to delist and deregister Amylin common stock.
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