Alkem enters into manufacturing and marketing of implants

Alkem MedTech Pvt Ltd (AMPL), a wholly owned subsidiary of Alkem Laboratories (ALL), has announced it’s 1st business initiative.

It has entered into a design and technology transfer agreement with Exactech Inc (EI), a global medical device company headquartered in USA.

  • AMPL will manufacture and market EI’s joint replacement implants for sale in India.
    • The agreement seems to be primarily focused towards hip and knee implants.
    • EI also has other solutions including shoulder, foot & ankle. Guess the future rampup would depend upon the success with initial products.
  • Exactech’s brands that AMPL will have access to include Truliant, Optetrak Logic, Alteon, AcuMatch, and Novation.
  • The commercial roll out is expected to take 1-2 years.

Personally, I believe this is an excellent diversification by ALL. Medical devices is an industry with huge potential in general and India in particular.

ALL is a well governed corporate with an excellent execution track record. This foray definitely makes me excited about the sustained long term strength in ALL’s business.

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