Plethico Pharmaceuticals is likely to acquire 20 percent stake in a subsidiary of Hong Kong-based Tricon Holdings. Plethico will buy the stakes of the commonwealth of Independent States (CIS) retail pharmacy chain for $20 million. The deal which is expected be accomplished by next month will enable Tricon to get access to over 1,000 products from Plethico and its subsidiary, Natrol. Talking about the acquisition, Plethico CEO, Chirag Patel said that the deal will help the company to consolidate its position in the CIS market.

 

Tricon operates about 300 retail pharmacies across countries in the CIS. Besides sourcing products from the UAE and other countries, it is also dependent on India. According to Plethico CFO Sanjay Pai, the company has the desire to venture into the retail pharmacy space for many years. The company has tried out all means to improve cashflows from the CIS but failed. Now by acquiring stakes in the Tricon, the company will be able to fulfill its long standing desire of owing a share in the CIS retail pharmacy.

 

The pharmaceutical company engaged in manufacturing and marketing generic formulations and consumables, Plethico acquired Natrol earlier this year. Natrol is a leading manufacturer and marketer of nationally branded nutritional products in the United States of America. Now after acquiring stakes of Tricon, the company is expected to earn huge profit in retail pharmacy market.