Brocair Partners Helps Indian Pharmaceuticals Firm Deliver on US Acquisition Strategy – December 2007
Brocair Partners LLC, an investment banking firm serving the healthcare industry, advised Plethico Pharmaceuticals Limited, an Indian public company, on its acquisition of Natrol, Inc., a Nasdaq-listed company based in California.
The two-step acquisition was effected by means of a front-end, cash tender offer by a wholly owned subsidiary of Plethico for all of the outstanding shares of Natrol’s common stock, at $4.40 net per share in cash, followed by a second-step, cash-out merger in which untendered Natrol shares were acquired at the same net cash price per share. All Natrol stock options received cash equal to the excess, if any, of $4.40 over their exercise price.
Rusty Ray, Partner at Brocair, explained the key issues of the transaction, “We think this transaction will be tremendously beneficial to both parties. The transaction itself was quite interesting when viewed from the perspective that Plethico, an Indian-based company, has chosen to expand into the US market through the acquisition of a highly regarded, well-established brand. We believe this is a trend that will continue across the healthcare sector.”
Plethico Pharmaceuticals Limited (BSE: 532739/BO: PLETHICO) is an herbal/ nutraceutical-focused Indian company that engages in the manufacture, marketing and distribution of pharmaceutical and allied healthcare products in India and internationally. The company’s product portfolio includes: herbal health care products, such as Travisil® and Mountain Herbz® food supplements; consumer healthcare products and neutraceuticals, which include sports nutrition (Coach’s Formula®), confectionary (Byte®, Actifresh®), pharma-OTC (Effertabs®, Therasil®) and pharmaceutical formulations. The Company today operates in Commonwealth of Independent States (CIS), Africa, South East Asia, Latin America and certain gulf countries. Plethico was founded in 1991 and has its corporate office in Mumbai, India.