Bayer, Zydus form venture

MUMBAI, JULY 2: The German multinational Bayer and the Ahmedabad-based Zydus group have signed a memorandum of understanding (MoU) to set up a 51:49 joint venture healthcare company in India. The venture, while "sidestepping the conventional mergers and brand acquisition strategies", is expected to catapult the market share of the alliance from 0.8 per cent to 2.4 per cent in the next few years.

Under the alliance, Bayer will transfer its existing pharmaceutical brands and marketing operations to the joint venture company while Zydus will bring in select synergistic brands. The two partners are expected to render toll-manufacturing services to the joint venture.