About the JSC “Grindeks” purchase agreement of “HBM Pharma” s.r.o.


JSC “Grindeks” informs that in 2012 there was a purchase agreement conducted with “Dashdirect Limited” on acquisition of whole (100%) shares of “HBM Pharma” s.r.o. (Slovakia). Total amount of the transaction is 13.1 million euro. JSC “Grindeks” has made the advance payment of 11.67 million euro. The remaining amount of the payment will be made after the re-registration of shares to JSC “Grindeks” according to Slovak legislation. It is planned that this transaction will be fully completed in 2014 and after its completion “HBM Pharma” s.r.o. will be included in the Group structure of JSC “Grindeks”. Financing of purchase of shares is from the company’s funds.

The core business of the company is manufacturing of pharmaceuticals and JSC “Grindeks” has conducted a long-term agreement on manufacturing of medication in form of injections. Orders of JSC “Grindeks” make up about 30% of the total “HBM Pharma” s.r.o. turnover.

Chairman of the Board of JSC “Grindeks” Juris Bundulis: “Taking into account the necessity to increase the manufacturing capacity of JSC “Grindeks”, the most convenient solution is the acquisition of an existing manufacturing plant. This step corresponds to the strategy of the company to provide the vertical integration of the entire manufacturing process - research, development, manufacturing and sales of active pharmaceutical ingredients and final dosage forms. This transaction will significantly improve competitiveness of the Group in the international arena.”

After the completion of the transaction there will be 5 subsidiaries of “Grindeks” - JSC “Tallinn Pharmaceutical Plant” (Estonia), JSC “Kalceks” (Latvia), “Namu apsaimniekošanas projekti” Ltd. (Latvia), “Grindeks Rus” Ltd. (Russia) and “HBM Pharma” s.r.o. (Slovakia).

The turnover, operational net profit and dividend payment of “HBM Pharma” s.r.o.:

Year Turnover (million euro) Net profit (million euro) Dividend payment
2013 27.44 2.13 No
2012 22.26 2.19 No
2011 18.57 1.91 No

 “HBM Pharma” s.r.o. is not involved in court or arbitration proceedings.


About "Grindeks"

“Grindeks” is the leading pharmaceutical company in the Baltic States. Its main fields of action are: research, development, manufacturing and sale of original products, generics and active pharmaceutical ingredients. The Group of “Grindeks” consists of four subsidiary companies in Latvia, Estonia and Russia, as well as representative offices in 13 countries.

“Grindeks” specializes in the heart and cardiovascular, CNS and anti-cancer medication therapeutic groups. A range of products covers a successful combination of original products and generics, with the original products Mildronate® and Ftorafur® and more than 100 forms of effective and safe generics included therein. Currently “Grindeks” produces 25 active pharmaceutical ingredients.

Products of the company are exported to 59 countries and its export comprises more than 95% of the total turnover. The main markets are: Russia and other CIS countries, the Baltic States, Germany, the Netherlands, Japan and the U.S.

To increase production capacity and develop infrastructure, since 2002 the company has accomplished many significant investment projects, investing 70.7 million euros over the years.

JSC “Grindeks” shares are listed on the Official List of “NASDAQ OMX Riga”. Major shareholders of JSC “Grindeks” are Kirovs Lipmans – 33.29%, Anna Lipmane – 16.69%, “AB.LV Private Equity fund 2010” – 22.66%, “Swedbank” AS Clients Account (nominee account) – 10.47%.

More information about the company – www.grindeks.lv/en/

Follow “Grindeks”:
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         Further information:
         Laila Kļaviņa
         Head of the Communications Department, JSC “Grindeks”
         Phones: (+371) 67083370, (+371) 29256012
         Fax: (+371) 67083505