Transaction Overview - NATCO Pharma proposes to acquire a 35.75% shareholding in Adcock Ingram, a South African pharmaceutical company[3] - The price per share is ZAR 75, equating to US$4.271[3] - The total cost to NATCO is estimated at ZAR 4 Billion, approximately US$226 Million[3] - Transaction costs are projected to be around ₹ 2,000 Cr, roughly US$10 Million[3] Adcock Ingram Financials - Adcock Ingram's revenue was US$484 million in FY22, US$507 million in FY23, and US$536 million in FY24[3,22] - H1 FY25 revenue reached US$262 million[3,22] - EBITDA margins have been consistent, at 15% in FY22, 16% in FY23, and 15% in FY24, with 14% in H1 FY25[22] - Net profit margins were 9% in FY22, 10% in FY23, and 8% in FY24, with 8% in H1 FY25[22] Strategic Rationale - South Africa is a key emerging market and a gateway to the African continent, offering a strong regulatory environment[26] - Adcock Ingram is the second-largest pharmaceutical company in South Africa, with a presence across prescription, OTC, consumer, and hospital segments[5,26] Potential Synergies - NATCO aims to leverage Adcock Ingram's distribution network for its products in South Africa[29] - The partnership seeks to introduce affordable and innovative pharmaceutical products across African markets[29]