Moscow, 22 May, 2014 – OJSC Pharmstandard (LSE: PHST IL, RTS: PHST RU) (“Pharmstandard”) and Millhouse LLC (“Millhouse”) today announced plans to acquire stakes (individually) in Biocad Holding Ltd., the main shareholder in Russian biotechnological company CJSC Biocad (“Biocad”).

Biocad specializes in the development, production and promotion of original and generic drugs in the following therapeutic categories: urology, gynecology, dermatovenerology, oncology, hematology, autoimmune and infectious diseases.

Under the terms of the deal, Pharmstandard will acquire 20% of Biocad Holding, while a Millhouse-affiliated entity will purchase a further 50% stake.

Pharmstandard plans to finance the acquisition with their own funds.

For a Millhouse-affiliated entity closure of the deal to purchase 50% stake of Biocad Holding Ltd. is subject to approval by the Federal Anti-Monopoly Service.

“Pharmstandard views the acquisition as an investment of strategic nature”, said Pharmstandard CEO Igor Krylov, adding that “the decision was preceded by an extensive and in-depth financial and legal due diligence process which demonstrated that the partnership would be beneficial to both companies”.

Millhouse and Pharmstandard have a successful track record of working together to develop leaders in the pharmaceutical market. The companies previously cooperated on the acquisitions of ICN Pharmaceuticals, Inc. and CJSC Masterlek, and on Pharmstandard’s initial public offering.

The remaining 30% of Biocad Holdings is controlled by Dmitri Morozov, CEO and founder of Biocad, who will continue to run the company together with his top-notch management team.

 

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Contacts:

Irina Bakhturina Head of Investor Relations OJSC Pharmstandard Tel.: +7 (495) 970-0030 Ext.2824 Fax: +7 (495) 970-0032

John Mann, Anna Sulimina Information Policy Department Millhouse LLC Tel.: +7 (495) 961-1307 Fax: +7 (495) 961-1308 a.sulimina@millhouse.ru

 

About OJSC Pharmstandard

OJSC Pharmstandard – Russia’s leading pharmaceutical Company that develops and manufactures high-quality modern pharmaceutical products which meet the requirements of the healthcare system and the expectations of patients.

 

The Company’s production assets consist of 8 pharmaceutical plants located in Kursk, Ufa, Tomsk, Vladimir and in Ukraine’s Kharkov and 1 medical equipment plant in Tyumen.

 

Pharmstandard shares and GDRs are traded on the RTS-MICEX and LSE.

 

About CJSC Biocad

Biocad Holdings is a leading Russian private biopharmaceutical company, specializing in the research, development and manufacture of generic, biosimilar, and innovative drugs. Biocad works to provide more affordable therapeutic proteins and small-molecule generics to patients who previously had limited access to high-value drugs in the areas of oncology, autoimmune and infectious diseases.

www.pharmstd.ru

 

About Millhouse LLC

Millhouse LLC is a Moscow-based asset management company overseeing investments in a variety of industries including property development, mining and metallurgy, energy, telecommunications, technology and sport.