Citi Pharma Limited has entered into an agreement with Murli Krishna Pharma Private Ltd, a company incorporated and existing under the relevant laws of India.
The pharma company shared this development with the Pakistan Stock Exchange (PSX) through a notice on Tuesday.
“This exclusive strategic partnership aims to establish the terms and conditions under which Murli Krishna Pharma Private Ltd will supply high-quality Active Pharmaceutical Ingredients (APIs) and products exclusively to Citi Pharma Limited in the Pakistan market,” read the notice.
The company said that under the terms of this agreement, Murli Krishna Pharma agrees not to supply any of the APIs in N-1 form to any other company in Pakistan except Citi Pharma. This exclusivity ensures that Citi Pharma will have the sole right to market, distribute and sell these exclusive products within Pakistan.
Murli Krishna Pharma Private Ltd is committed to supplying the Exclusive Products to Citi Pharma Limited in accordance with the highest quality standards in the pharmaceutical industry, complying with British Pharmacopoeia (BP) or United States Pharmacopeia (USP) standards, or as specified by our regulatory team.
This commitment to quality and exclusivity is a significant milestone for both companies and underscores our dedication to providing the best pharmaceutical products to the market.
This agreement is anticipated to generate a turnover increase of 2.8 billion, with the cost of sales expected to rise by 2.38 billion. The increase in operational costs due to this agreement is projected to be minimal, as we will be leveraging Citi Pharma’s existing resources.
Upon the successful completion of Phase-1 of this agreement (the first two years), Citi Pharma Limited and Murli Krishna Pharma Private Ltd have agreed to discuss and negotiate the expansion of our supply chain to other countries, including but not limited to the USA and the Kingdom of Saudi Arabia.
“We are excited about this collaboration and the potential it holds for future growth and expansion. This partnership not only strengthens our product portfolio but also reaffirms our commitment to delivering high-quality pharmaceutical products to our customers,” Citi Pharma said in its notice.
