Leader in generics in the country, EMS is in the running to buy multinational

The pharmaceutical group EMS, Brazilian businessman Carlos Sanchez, is in the running to buy the European lab Medis, Israeli arm Teva, found the State with two sources familiar with the matter. Largest producer of generic medicines in the country, the EMS is participating with other foreign companies and private equity funds of the process to acquire the company. The company of Sanchez would be raising a loan of about 900 million euros (about $4.2 R billion) to use part of the resources as collateral for possible acquisition, according to a market source. Based in Iceland and factories across Europe, the Medis was put up for sale a year ago and is valued between $ $500 million to $ $1 billion, according to Bloomberg. Global generic drug giant, Teva is breaking down of part of its business to reduce your debt. The company bought Allergan, in 2015, for about $ $40.5 billion. Citibank is advising the Teva in this operation. Sought, the EMS and Citibank had no comment. Already the Medis and Teva did not return requests for interviews. Internationalization of the country's largest laboratory, the EMS, controlled by holding the family Sanchez, the NC Pharma, ended last year with gross sales of RS $12.2 billion. If considered net sales, with discounts already granted in retail, the recipe was in R $4.7 billion, found the State. Industry leader, with 8.37% market share, the EMS has adopted in recent years an aggressive plan for expansion within and outside the country. In 2013, created the Brace Pharma to act in the US market through investments in innovative medicines. Last year, the company won bidding to administer the Galenika pharmaceutical, based in Serbia. If the EMS conclude the negotiation of the Medis, the deal will be the largest transaction involving a national pharmaceutical abroad. National EMS, competitors like Eurofarma and Biolab, also gave important steps for the internationalization of their business. According to sources of the pharmaceutical sector, the lack of prospect of growth in the domestic market has led national laboratories more capitalized to invest in international markets. Between 2009 and 2012, the industry experienced a boom, with important multinationals doing heavy acquisitions in Brazil. Were the cases of American Pfizer, which bought a slice of German; the French Sanofi, which negotiated the Medley; and the Japanese Takeda, which led the Multilab. This movement, however, was reversed. Pfizer decided to sell your part in German for family business founder, while Takeda sold the Multilab six years after entering the Brazil to NC, also by Carlos Sanchez. Slowdown after years of growing above 10%, the national pharmaceutical industry felt the impact of the crisis and reduced expansion. The industry should end the year with between 8% and 9% in sales, moving R $58 billion, in addition to R $20 billion in sales. The movement of consolidation should continue, but with less than the registered in recent years. The healthcare industry will continue attracting investors, but the deals involving the pharmaceutical industry should lose the rhythm.