Citi Pharma to Acquire Lahore-Based Medicine Manufacturer

Citi Pharma Limited (PSX: CPHL) has announced plans to acquire 100 percent shareholding of Pakheim International Pharmaceuticals (Private) Limited as part of its expansion strategy in the pharmaceutical sector.

According to the company’s notice to the Pakistan Stock Exchange, the Board of Directors approved the proposed acquisition on May 6, 2026, including Pakheim’s associated assets, licenses, and operations, subject to regulatory approvals and completion of due diligence.

The company said Pakheim International Pharmaceuticals operates an established pharmaceutical manufacturing facility and holds multiple DRAP-registered products.

The acquisition is aimed at strengthening Citi Pharma’s manufacturing capacity, product portfolio, and market footprint.

Citi Pharma stated that Pakheim currently generates annual revenue of around Rs. 500 million, while the acquisition is expected to improve operational synergies, optimize production efficiencies, and support expansion in local and international markets.

The company has outlined a long term growth strategy targeting revenue of Rs. 5 billion over the next five years through portfolio expansion, stronger distribution networks, and continued investment in manufacturing and product development.

According to the disclosure, the transaction will be financed through a combination of internal cash resources and available banking facilities, while the payment plan extends until December 31, 2026.

Citi Pharma also said the acquisition is expected to strengthen its active pharmaceutical ingredients business, as the acquired operations will source APIs directly from Citi Pharma, improving capacity utilization and supporting higher API sales.