Brazil drugmaker EMS eyes overseas deals after buying Sanofi unit

By Gabriel Araujo and Luciana Magalhaes

SAO PAULO, March 10 (Reuters) – Brazilian drugmaker EMS is open to fresh acquisitions to expand internationally after inking a major deal to buy Sanofi’s Brazil-based generic drugmaker Medley, ​and is gearing up to launch its own semaglutide-based injector pens ‌in its home market.

EMS, controlled by Grupo NC holding, last week announced its purchase of Medley for more than $500 million, further strengthening its position as a top player in the generics market in Latin America’s largest economy.

While preparing to integrate Medley, EMS is also ‌eyeing ​additional deals across its existing markets in Brazil, ⁠Mexico, and Eastern Europe, Thiago ⁠Tavares, CEO of Grupo NC holding, said in an interview on Tuesday.

“We should also look beyond Brazil to expand our operations and truly become a more global company,” said Tavares, who noted that the Medley acquisition ​will be funded with EMS’s own capital.

“I see us with major possibilities for acquisitions, especially abroad,” Tavares said, mentioning plans to expand the group’s ⁠footprint in the United States, where it already ⁠has a preoperational unit, after 2030.

PRODUCTION BOOST, INJECTOR PENS

EMS’s ​share of Brazil’s generics market could grow to around 30% if the Medley ​acquisition is approved by antitrust regulator CADE, Tavares said. He said ‌he expects the approval to be smooth as the market includes strong competitors such as Cimed and Eurofarma.

But EMS’s plans to grow on generics go beyond the Medley deal. It is also gearing up to launch its own semaglutide-based ⁠injector pens as soon as regulator Anvisa clears the product for sale in Brazil, Tavares said.

The patent protection for semaglutide, the active ingredient in Novo Nordisk’s blockbuster ⁠diabetes and weight-loss drug ‌Ozempic, is about to expire in Brazil, allowing firms ⁠there to produce their own versions.

Rival Hypera had previously ​said it ‌planned to launch its generic version of semaglutide this ​year.

Tavares said ⁠he expects to make a decision about its semaglutide drug soon, though he did not know exactly when.

“I think the product has already been more than sufficiently tested, so once the approval comes through, we’ll launch it,” Tavares said. “It’s very feasible to launch it this year.”

(Reporting by Gabriel Araujo and Luciana Magalhaes; ​Editing by Will Dunham)