Cosmos Health announced that it has signed a non-binding letter of intent to acquire 100% of Doc Pharma, a European pharmaceutical manufacturer with Good Manufacturing Practice (GMP) certifications, in a transaction the company described as a major step toward building a fully integrated healthcare platform.
According to Cosmos Health, Doc Pharma brings an asset base of approximately $24 million, average annual revenue of about $6.7 million, and average annual gross profit of approximately $3.2 million based on results from the three most recent completed financial years.
The proposed acquisition would add a GMP-licensed manufacturing facility spanning approximately 59,000 square feet and built to European standards. The site has capacity for expansion and is capable of producing a wide range of dosage forms, including tablets, capsules, sachets, syrups, suspensions, solutions, drops, and sprays.
Doc Pharma’s operations are certified under GMP, ISO, Kosher, and Halal standards, and the company maintains site registrations for the United Arab Emirates, Qatar, Iraq, and Lebanon. It also operates chemical and microbiological laboratories following Good Laboratory Practice guidelines.
Cosmos Health said the transaction would deepen its vertical integration strategy by increasing production capabilities, broadening the range of dosage forms manufactured in-house, and expanding its portfolio of advanced and branded generic drugs and over-the-counter products. The company also expects the acquisition to strengthen research and development activities and create additional economies of scale.
The company believes the deal would be immediately accretive and support long-term improvements in profitability, cash flow, and operating margins.
Because Doc Pharma is a related-party entity, the proposed transaction will be reviewed by an independent committee of directors and supported by an independent fairness opinion, valuation, and PCAOB audit. The acquisition would also require shareholder approval.
Cosmos Health is a diversified healthcare group with operations spanning pharmaceuticals, nutraceuticals, manufacturing, distribution, telehealth, and artificial intelligence-enabled drug repurposing technologies. Through subsidiaries in Greece, the United Kingdom, and the United States, the company manufactures and distributes pharmaceutical products and develops treatments targeting conditions including obesity, diabetes, and cancer.
KEY QUOTES:
“This is a defining step in our vision to build a global, diversified, vertically integrated healthcare powerhouse. Doc Pharma brings a state-of-the-art GMP facility, a deep portfolio of advanced and branded generics and OTC pharmaceutical products, and a strong R&D platform. Bringing these capabilities in-house is expected to expand our production capacity, accelerate growth, strengthen margins, enhance profitability, and create lasting value for shareholders. The enlarged platform would be well positioned to advance these objectives.”
Greg Siokas, CEO of Cosmos Health
