Date:04/11/2004 URL: http://www.thehindubusinessline.com/2004/11/04/stories/2004110401630200.htm

Back NPIL inks two custom manufacturing contracts

Our Bureau

Mumbai , Nov. 3

NICHOLAS Piramal India Ltd (NPIL) has inked two new custom manufacturing agreements that would add $30 million per annum to NPIL's kitty from the financial year 2007.

The first agreement is for the manufacture and supply of a set of pharmaceutical products from India, to a drug major who is among the top Fortune 500 Companies in the world, for sale in the US market. Company officials were unwilling to divulge the name of the company citing confidentiality reasons, however an NPIL official told Business Line that the initially identified products in the two agreements would bring in a yearly sales of $30 million from March 2007.

The first agreement is for an initial period of five years, renewable thereafter for an additional period of three years. On expiry of the renewed period, the agreement may be renewed annually, the company told BSE.

The second agreement is with Allergan Inc USA for the manufacture of two eye-related, anti-glaucoma active pharmaceutical ingredients (API).

NPIL will cater to Allergan's worldwide requirements of Levobunolol (used in Betagan formulation) and Brimonidine (used in Alphagan and Alphagan - P formulation).

Allergan's sales from the mentioned formulation exceed $300 million per year.