Arrow and Apotex have announced a proposed merger of their Australian and New Zealand generic pharmaceutical and OTC operations
The proposed merger between Arrow Pharmaceuticals and Apotex is still subject to several conditions, including ACCC approval and due diligence, and is anticipated for completion in the new financial year.
According to a statement released late Wednesday afternoon, the proposed merged company will aim to:
- provide improved sustainability of low cost generic pharmaceutical supplies to Australian pharmacies and the Pharmaceutical Benefits Scheme (PBS);
- expand and diversify each company’s current product portfolios;
- increase customer engagement through investment in professional programs; and
- leverage operating costs and operational synergies to build economies of scale.
The combined operation will reportedly become one of Australia’s leading pharmaceutical companies.
It is expected that current Arrow Pharmaceuticals Executive Chairman Dennis Bastas will be appointed Executive Chairman, and Apotex Managing Director, Asia Pacific, Roger Millichamp will assume the role of CEO of the newly merged Australian company.
“We sincerely value and respect the relationship that pharmacists and consumers have for the Arrow and Apotex products and services,” said Mr Bastas.
“The proposed merger will provide our Australian customers with unparalleled service and support from the businesses with which they have chosen to partner for over 15 years.”
“Both companies are currently in a strong commercial position, but will be better positioned to meet the future challenges of the pharmaceutical industry following the merger, which is still subject to regulatory approval,” said Mr Millichamp.
“Importantly, the proposed merger will also provide Australian pharmacists, their patients and consumers alike with ongoing access to a diverse range of almost 500 low cost medicines, and permit the expansion of our current product ranges, including OTC, vitamins and practitioner-only products.”