HLL Lifecare Limited (HLL), a Mini Ratna public sector enterprise of Ministry of Health and Family Welfare, forays into pharmaceutical business in a big way. It has acquired majority stake in Goa state owned public sector company Goa Antibiotics and Pharmaceuticals Ltd. (GAPL).
The Goa cabinet, presided by Chief Minister Manohar Parrikar, approved a proposal to disinvest 74 per cent equity stake of the state-owned EDC Limited in GAPL in favour of HLL. Under the agreement, HLL propose to expand this facility for diversifying its pharma portfolio. Further, HLL would be retaining all the existing 205 employees of GAPL.
Government initiatives coupled with the Government’s desire to make the delivery of healthcare services affordable to the poor masses have led to a boom in Generic drugs business in the country. HLL has been actively partnering with Govt. of India for its ambitious healthcare programme on ‘universal health coverage’. Through its retail pharma networks in AIIMS New Delhi and Haryana HLL provides 147 generic medicines. Recently HLL had set up a state-of-the-art hormonal formulation plant in Belgaum in Karnataka. HLL have pharma production facilities in Belgaum and Indore.
Hindlabs and Life Care Centers (LCC), the two major brands of HLL, provide diagnostic services and retails pharma products, surgical implants to partner institutions under the PPP model, respectively. The company has been operating speciality diagnostics and pharmacy services in leading healthcare institutions in Kerala, Odisha and other states in collaboration with respective State Health Departments. In addition, HLL also runs pharma retail outlets in various parts of Andhra Pradesh. HLL also supplies pharma products to various state governments in the country.
“The acquisition of majority stake in GAPL will add muscle to our pharmaceutical business,” said Dr. M Ayyappan, C&MD, HLL Dr Ayyappan said the acquisition is part of the company’s strategy to expand its pharmaceutical business in a substantial manner. “HLL has already made its presence felt in the pharma industry by offering a basket of women healthcare products. It has also a strong distribution network, reaching out to over 30,000 medical professionals and over 3500 hospitals in the country,” he pointed out.
By taking over GAPL, which is an important player in pharmaceutical formulations such as dry powder injectables, capsules, tablets and liquid oral, HLL would benefit enormously, Dr. Ayyappan said.