Dr Reddy's Laboratories said on Thursday it has entered into a definitive agreement to acquire German medical cannabis firm Nimbus Health.
Dr Reddy's will acquire Nimbus Health for an upfront payment plus performance and milestone-based earn-outs over the next four years, the company said in a statement.
Founded in 2018, Nimbus Health is one of the pioneer companies for medical cannabis in Germany. The acquisition will allow Dr Reddy's to build on Nimbus Health's strengths and introduce medical cannabis-based medicines as a promising treatment option for patients.
Upon acquisition, the company will operate under the brand Nimbus Health and as a wholly-owned subsidiary of Dr Reddy's.
"Medical cannabis is increasingly used to address and treat high unmet medical needs, especially in pain management and CNS. Further, with numerous studies being conducted to leverage and introduce medical cannabis, we believe this is a must-be field for future healthcare delivery," Patrick Aghanian, Head of European Generics, Dr Reddy's, said in the statement.
"Nimbus Health has established itself as a fast-growing, highly reputable, pioneering platform with an excellent network of trade partners and know-how access, where the German sick-funds fully reimburse medical cannabis. As more European countries adopt the usage of medical cannabis, the ability to leverage and access newer geographies will be key," he said.
( With inputs from ANI )
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