Karnataka's leading pharmaceutical enterprise has now officially merged its four companies -Micro Labs, Brown & Burk, Micro Nova and Eros Pharma into the parent company to form Micro Labs Limited. The new entity Micro Labs will now have ten divisions which include the four merged units along with Micro Exports, Cardicare, Carsyon, Micro Vision, Synapse and Syncro.
The restructured company will formally commence operations from the next financial year, which begins on April 1, 2005. The company received all the related clearances from financial institutions and all related procedures were completed.
"The amalgamation of the individual companies-Micro Labs, Brown & Burk, Micro Nova and Eros Pharma- would increase efficiency of internal operations. The maintenance of financial parameters was also a cumbersome exercise. The restructure of the company would also help it to leverage on its size in the event of its intention to tap the capital market in the future," informed a senior official of the company. Post merger, Micro Labs Limited will now have a centralised finance system with one accounting entity and a single balance sheet, the official added.
Micro Group, a pharmaceutical major in the south and a leader in formulations in Karnataka, is confident to touch a turnover of over Rs 500 crore with a growth rate of 25 per cent. Its products portfolio covers cardiovascular, dermatology, ophthalmology, psychiatry, anti diabetic, neurological, anti bacterial, anti fungal, anti-allergants, analgesics, gynaecology.
The company has 11 production units located in the southern states. In order to make an aggressive entry in the regulated markets, the company invested Rs 100 crore for the upgradation of its existing plants at Hosur and setting up new facilities at Veerasandra Industrial Area, Bommasandra near Bangalore and Goa. It has two facilities in Peenya in the outskirts of Bangalore, three plants at Pondicherry and one unit at Kumbalgod, near Mysore.
The Brown & Burke Unit II at Hosur received the UK-MHRA approval in addition to Health Canada and South Africa's Medicines Control Council certification. The facility of Micro Labs in Hosur received a certification from Invima Colombia. Incidentally, the Brown & Burke facility at Veerasandra has received Health Canada and South Africa's Medicines Control Council approval, informed the sources. The Goa plant located at the Verna Industrial Area is built according to US FDA and UK MHRA requirements.