Fujifilm Corp. said Monday it will acquire two subsidiaries of U.S. pharmaceuticals giant Merck & Co. as it makes a full-fledged foray into biopharmaceuticals, including production of cancer drugs.
Under the agreement reached with Merck, the world's second-largest pharmaceuticals company, Fujifilm will acquire all shares in North Carolina-based Diosynth RTP Inc. and in MSD Biologics Ltd., based in Billingham, northeast England, for an undisclosed sum at the end of March.
The two wholly owned subsidiaries are engaged in contract manufacturing and development services for the biopharmaceuticals industry.
"This acquisition provides an important addition to our pharmaceutical business, with diverse capabilities and technical expertise in production of protein therapeutics," Shigetaka Komori, president of Fujifilm, said in a statement.
Demand for biopharmaceuticals, which make use of proteins, is expected to see high growth because the products can be applied to remedies for cancer and rheumatism. Biopharmaceuticals are said to have high efficacy and few side effects.
Fujifilm has been expanding its pharmaceuticals operations with an eye to increasing sales in the medical field, including medical equipment.