Johnson & Johnson On a Buying Spree: Acquires ORSL and Alios BioPharma
Johnson & Johnson On a Buying Spree: Acquires ORSL and Alios BioPharma
Johnson & Johnson recently announced on November 7th that it has acquired energy drink brand ORSL from Jagdale Industries Ltd. The amount for which the acquisition has been made has not been publicly disclosed. The aim for this pharmaceutical giant is to expand its consumer healthcare footprint in India.
Through this deal, Johnson & Johnson also hopes to move into niche consumer health care sectors. The US based diversified healthcare firm also has not provided details of the financial aspects of the deal. Reuters has quoted a source as saying that the company acquired the healthcare brand for INR 7.5 billion.
The US based diversified healthcare firm has taken a step forward through the acquisition of ORSL ready to consume electrolyte brand from Jagdale Industries. The latter is a Bengaluru based company. ORSL is an energy drink that is fruit based. It has fruit based electrolyte which makes it essential for treating dehydration. The electrolyte restoration is essential during mild dehydration as well as general disability following conditions such as cold, cough, fever and digestive problems. Industry estimates peg ORSL sales to be around INR 100 crore.
An official statement from Johnson & Johnson indicated that the parent company of the energy drink brand, Jagdale Industries will work to provide transition services in areas such as manufacturing, detailing and distribution of ORSL. This will ensure that consumers can continue to access this healthy electrolyte drink while the transition is occurring.
“India is a very important market for Johnson & Johnson and we are pleased to add the ORSL brand to our portfolio of consumer health care brands in India,’’ Thibaut Mongon, Company Group Chairman (Johnson & Johnson Family of Consumer Companies Asia Pacific), indicated in a statement. “This acquisition will allow us to expand our consumer health care offerings in line with our vision of helping consumers lead healthy vibrant lives,’’ he also added.
Meanwhile, NASDAQ news indicated that the healthcare and pharmaceutical company has also announced the acquisition amounting to USD 1.75 billion of Alios BioPharma Inc , a clinical pharmaceutical company which focuses on the development of therapies for viral diseases. Alios BioPharma is now part of the infectious diseases therapeutic area of Janssen Pharmaceutical Cos of Johnson & Johnson.
The deal also involves the portfolio of potential therapeutics for viral infections with a promising compound named AL-8176. This compound is part of an orally administered antiviral therapy for treatment of infants with RSV, the only paediatric disease yet to have any effective therapy for it. This acquisition will augment Janssen’s current capabilities in this area. This could be a new and effective way forward in combating diseases such as RSV.
