Dr. Reddy’s completes acquisition of Haleon’s Nicotinell
Dr. Reddy’s Laboratories SA, Switzerland completed its acquisition of Haleon’s global portfolio of consumer healthcare brands in the Nicotine Replacement Therapy category outside of the United States, by purchasing shares of Northstar Switzerland, a Haleon group company.
The company has paid upfront cash for a GBP of 458 million.
As part of this acquisition, Northstar Switzerland along with its wholly owned subsidiaries North Star OpCo Limited (United Kingdom) and North Star Sweden AB (Sweden) are now wholly-owned step-down subsidiaries of the company effective from Sept. 30, 2024.
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The acquired portfolio consists of Nicotinell, a global leader in the NRT category with an extensive footprint in over 30 countries spanning Europe, Asia, including Japan and Latin America and local market-leading brand names of the product—Nicabate in Australia, Thrive in Canada and Habitrol in New Zealand and Canada.
The portfolio is inclusive of all formats such as lozenge, patch, gum as well as pipeline products, in all applicable global markets outside of the United States. Nicotinell is the second biggest brand globally (excluding the United States) in the NRT category.
NRT is recommended by the ‘World Health Organization Model List of Essential Medicines’ for nicotine use disorders. The acquisition of this global portfolio of consumer healthcare products is a significant and logical extension of the company’s efforts in consumer healthcare (nutrition and OTC wellness) in recent years, and of its purpose of ‘Good Health Can’t Wait’, the company said.
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Dr. Reddy's said it has been steadily building its OTC presence in various markets and investing in its capabilities, including a recent joint venture with Nestlé India. As a business, consumer healthcare is a growing and sustainable business with favorable long-term trends. This acquisition is an ideal anchor to continue to build the company’s global consumer healthcare OTC business, Dr. Reddy’s said.