Dr Reddy’s Laboratories Ltd stated today that it had signed a definitive agreement to buy Nimbus Health, a German medical cannabis company.
Nimbus Health is a privately held, licenced pharmaceutical wholesaler based in Germany specialising in medical cannabis. Dr Reddy’s will pay an upfront payment plus performance and milestone-based earn-outs to acquire Nimbus Health over the next four years.
Nimbus Health, founded in 2018, is one of Germany’s pioneer medical cannabis companies.
“The acquisition will allow Dr Reddy’s to build on Nimbus Health’s strengths and introduce medical cannabis-based medicines as a promising treatment option for patients. The company will be operating under the brand Nimbus Health and as a wholly-owned subsidiary of Dr Reddy’s,” the Hyderabad-based company said in a statement.
Dr Reddy’s stock dropped 1.05% to ₹4,369 on the NSE on Thursday.