Hengeler Mueller advises Fresenius on joint venture in Russia
06. May 2014
Fresenius Kabi is entering into a joint venture with CJSC Binnopharm, a pharmaceutical company active in Russia. The joint venture combines Fresenius Kabi’s Russian and CIS business. Fresenius Kabi will hold a 51% stake in the new company.
Binnopharm is a manufacturer and distributor of I.V. drugs, infusion solutions and active pharmaceutical ingredients. Located near Moscow, Binnopharm has two manufacturing facilities and more than 350 employees. 2013 sales were USD 104 m. Binnopharm is a subsidiary of the Russian holding Sistema JSFC, one of the argest companies in the country. Zenitco Finance Management LLC owns a minority stake.
Fresenius Kabi entered the Russian market in 1994, and currently sells infusion therapies, clinical nutrition and I.V. drugs in the country. In 2013, sales in Russia were USD 73 m.
The joint venture is subject to approvals by the antitrust authorities as well as the Russian Government Commission on Monitoring Foreign Investments, and is expected to close by year-end 2014. Contractual details were not disclosed.
Hengeler Mueller advised Fresenius on tax matters regarding the joint venture. The Hengeler Mueller team included partner Ernst-Thomas Kraft (Tax) and counsel Mathias Link as well as associate Steffen Hörner (both Tax).