DMV-Fonterra Excipients - Fonterra's 50/50 joint venture with Dutch dairy company Royal FrieslandCampina - is purchasing an Indian phar-maceutical company.
DFE has reached an agreement to acquire ingredient manufacturer Brahmar Cellulose Private Ltd (BCPL), which is based in Cuddalore, India.
BCPL manufactures ingredients used by the pharmaceutical industry in making tablets and pills.
DFE supplies lactose excipients, which are used in tablets, capsules and powders for medical inhalers, and account for about half the global sales of lactose excipients and 5%-10% of oral tablet excipients.
The acquisition would create a unique market position for DFE as a manufacturer and supplier of all ingredients that were most commonly used in the pharmaceutical industry, DFE chief executive Jan Jongsma said.
Long-term synergies would be achieved by combining DFE's global market position and sales network with BCPL's extensive product knowledge and market position in India, he said.
The acquisition, which was subject to conditions including the obtaining of various regulatory consents, was scheduled to be completed later this year.
