UAE pharma firm Julphar to sell diabetes subsidiary DiabTec
Julphar takes decision as part of its move to sell all non-core assets
Dubai: The Ras Al Khaimah headquartered pharma company Julphar has decided to divest its wholly-owned subsidiary making medication for diabetes.
The deal to sell DiabTec llc, which produces recombinant human Insulin API, is to be completed in the 'coming weeks subject to customary governmental approvals'. Julphar has in the recent past been reducing its non-core asset exposures and develop more complex formulations in-house.
Julphar will 'continue' focus on the diabetes segment and strengthen its insulin portfolio with the 'aim to provide new treatment solutions to patients in the UAE and MENA markets'. Its on track to launch next-generation insulin analogues in the region with Glargine biosimilar expected to be in the market in 2025.
Julphar has, as part of the deal, entered a long-term agreement with DiabTec to procure human Insulin API for its inhouse finished drug manufacturing as well for its licensing partners.
The company's strategy is to sell off non-core holdings and 'pivot towards future portfolio growth areas'. Part of the divestment proceeds will go into a pipeline of value-adding and specialty pharmaceutical products. (Julphar has more than 90 products in its pipeline in different stages.)
The company currently had approval for 55 new product registrations across different markets in the MENA region in 2023.
“The divestment of DiabTec llc is a further step in Julphar’s strategy to divest non-core assets and unlock value for shareholders," said Sheikh Saqer Bin Humaid Al Qasimi, Chairman of Julphar.
The divestment proceeds support Julphar’s continued investment in expanding our diabetes and specialty biotech portfolio