In particular, they approved the increase of the company’s authorized capital by 26 million lei – from 181.4 million lei to 207.3 million lei through an additional closed issue of 703228 shares with a nominal value of 37 lei. The funds will be used for the company’s development.
This decision was taken in the context of the merger agreement, given the intention of Herbal Therapy Laboratories (Romania) and Farmaco to merge through a merger and acquisition deal. As a result, Herbal Therapy Laboratories S.A. will become a market participant.
Both companies are part of a group with the same majority shareholder. From the point of view of the beneficiaries, they also operate in complementary fields.
It is planned that as a result of the merger Herbal Therapy Laboratories will strengthen its position in the domestic and international market, becoming a significant player in the pharmaceutical and cosmetics sector.
After the merger, the shareholders of Herbal Therapy Laboratories will be: Tauralp Pharm Holding AG (Switzerland) – 77.033%, Herbal Therapy Laboratories (Romania) – 22.390%, Europharm. Inc. (USA) – 0.401%, other shareholders – 0.176%.
Earlier, Farmaco’s authorized capital was raised by 7.3 million lei to 181.4 million.
It should be noted that Farmaco is one of the oldest drug manufacturers in Moldova, which started its activity in 1939 with the establishment of the chemical-pharmaceutical laboratory “Farmaco”. Until 1998, the company was the only domestic pharmaceutical manufacturer in Moldova.
In 1998, the state stake in Farmaco was sold to the Romanian-American company Europharm Inc. However, in 2002 Farmaco returned to state ownership due to Europharm Inc’s failure to fulfill its investment obligations. In 2014, Farmaco was privatized again, with the state stake of 94.614% of the company’s shares being acquired by Swiss company Tauralp Pharm Holding AG for 51.5 million lei. Later, it increased its stake in Farmaco’s authorized capital to 99.06%.
Today, the company produces over 130 items of medicines.
