The move bundles the two companies’ activities into two discrete groups, each headed up by a newly-appointed chief executive.
Jean Pierre Robert has been appointed CEO of a division called Specialty Pharmaceutical, which will combine the radiopharmaceuticals business of Draxis with the allergy extracts business of HollisterStier Laboratories. In July 2007 he was appointed president of Draxis Specialty Pharmaceuticals.
Meanwhile, Marcelo Morales has been appointed as the CEO for the contract manufacturing division, with responsibility for the sterile injectables manufacturing arm of HollisterStier and the sterile injectable, semi- solids and solid dose manufacturing operations of Draxis.
“This strategic move will result in cohesive operations,” said Jubilant in a statement. Specialty Pharmaceuticals becomes a group focused on research and development and product innovation, while the revamped Contract Manufacturing unit “consolidates Jubilant's leadership in the areas of both sterile and non-sterile contract manufacturing by leveraging multi-site capabilities.”
Jubilant bought US firm Hollister-Stier Laboratories for $122.5m last year in what at the time represented one of the largest overseas acquisitions by an Indian company in the CRAMS sector. That was swiftly followed by another record when it snapped up Canadian Draxis Health for $255m.
Bringing Draxis and Hollister-Stier into the Jubilant fold gave the Indian company a strong position in the North American contract manufacturing market, especially in the area of small volume parenteral drugs which is a big focus for the firm.
Draxis also added to Jubilant's capacity in non-sterile products, such as solid oral and semi-solid dosage forms, and placed Jubilant within the top five sterile manufacturing companies in North America, according to the firm.
"This strategic realignment will enable us to drive value for our customers through synergistic operations," commented Jubilant Organosys co-chairmen, Shyam and Hari Bhartia.
"With a focus on continuous innovation, expansion of service offerings and locations we ensure that our customers receive the desired level of quality, flexibility and expertise to meet the market demands," they added.