Indian firm Strides Shasun exits probiotics space after sales dip
It brings to an end a short-lived venture, which began when it acquired a 51% stake in the probiotic business of Shriram Group promoted Medispan in December 2015
The deal saw it gain brands such as Lactovit and Lactogut, but the company said the move had failed to hit strategic targets.
In a statement to investors, the company said: “The business has not been able to achieve the intended strategic objectives and milestones over the last 12 months and has de-grown in revenues.
“The promoters of Strides Shasun Ltd will acquire the 51% stake of this business owned by Strides and the business will be managed by its erstwhile promoters (Medispan) who will drive the growth strategy for the business.
“The divestment of the probiotic portfolio will not result in any capital gain or loss for Strides Shasun limited.”
The announcement was made as part of a wider restructuring plan that will also see the firm demerge and list its active pharmaceutical ingredients business and rename itself as Strides Pharma Ltd.
