In a further move to strengthen its presence in the Russian pharmaceutical sector, the European Bank for Reconstruction and Development will take on a 15 percent (minority) stake in OJSC Katren Russia a privately held company operating pharmaceutical distribution and retail chains in Russia. The funds will be used to upgrade and expand Katren’s warehousing infrastructure as well as projected future acquisitions. The investment is in line with EBRD’s initiative to support local Russian companies with regional and cross-border expansion potential. Prior similar investments include EBRD’s funding of the Healthy People pharmacy chain, and Petrovax; total investment in the pharma sector until now is EUR 300 mln.
OJSC Katren is one of Russia’s top three pharma distribution houses with the broadest reach in the CIS. Locally generated revenue currently accounts for 86 percent of their gross take. The company is currently the most cost-efficient distributor in the CIS.