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Morepen, US firm Ameritek in testing JV

Indian drugmaker Morepen Laboratories said on Tuesday that it had entered into a joint venture agreement with US diagnostics firm Ameritek Inc for making rapid diagnostic test kits.

Morepen managing director Susheel Suri said the two partners would invest a total of about Rs 100 million in the venture's equity, with Morepen holding a 75 per cent stake and Ameritek the balance.

A Morepen statement said Ameritek's products included diagnostic kits for AIDS, hepatitis, dengue and pregnancy detection kits.

"Initially we plan to import and sell their diagnostic kits, and will start manufacturing the kits from next January," Suri said.

"Morepen will make the products with technology from Ameritek, and will market them through our network," he said.

He said the kits would be made at a Morepen unit at Parwanoo in northern India, in which Morepen had already invested over Rs 200 million on a facility to make other diagnostic products.

Ameritek has manufacturing facilities at Seattle and offers more than 150 different diagnostic tests, the statement said.

Morepen shares closed up 4.74 per cent at Rs 115 ahead of the announcement of the tie-up, while the benchmark Bombay index closed up 0.22 per cent.

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