(Ecofin Agency) - The leading pharmaceutical company Laprophan is set to receive an investment of approximately $71.9 million for a minority stake in its capital. The transaction led by Mediterrania Capital Partners is subject to the usual regulatory approvals.
For the first time since its creation some 70 years ago, family-owned pharmaceutical company Laprophan will open its capital to foreign investors. Last Tuesday, the company announced an investment protocol with private equity firm Mediterrania Capital Partners and private sector financing institution Proparco and development finance institutions FMO and DEG.
Under the protocol, the consortium of investors will disburse MAD750 million ($71.9 million) for a minority stake in Laprophan. The deal still needs to obtain the usual regulatory approvals, including those of Morocco's Competition Authority.
The funds will allow Laprophan to expand its business in Morocco, offering new products and also boosting its export capabilities. Farid Bennis, General Manager of Laprophan, stressed that this agreement should help meet the Kingdom's public health needs while strengthening Laprophan's international positions.