Mexico City, July 23th, 2018.
The International Finance Corporation (IFC), a member of the World Bank Group, IDB Invest and the Inter-American Development Bank (IDB), both members of the IDB Group have signed a US$100 million combined financing package to support the expansion plan of Genomma Lab, a leading regional pharmaceutical and personal care company based in Mexico. Genomma Lab is focused on the development, marketing, distribution and sale of over the counter medicines (analgesics, antidiarrheal and antacids, among others) and personal care products, such as anti-acne and anti-dandruff shampoo.
The loans will finance the construction of Genomma’s first manufacturing plant in Mexico, a state-of-the-art manufacturing facility for pharmaceuticals and personal care products. IFC will also support Genomma’s refinancing program that will strengthen the Company’s balance sheet. IFC signed a US$50 million loan equivalent in Mexican Pesos, and the IDB signed a MXN 900 million loan. Also, IDB Invest is expecting to sign a reverse factoring facility for up to MX$300 million to provide financing to Genomma Lab’s suppliers, most of which are small and medium size enterprises.
“Over the counter medicines play an important role in reducing the cost of healthcare, especially in the largely underserved low-income populations across Latin America and the Caribbean,” says Ary Naïm, Country Manager of IFC Mexico. “We are excited to support Genomma’s investment, oriented to expand access to quality and affordable products to the whole region. Mexico is well-placed to play a regional and even a global role in the pharmaceutical sector”.
“We at IDB Invest are thrilled to support Genomma Lab, a regional player in LAC through a multi-product approach. This kind of solutions are in line with our new philosophy to become the partner of choice for companies in the region”, says Rodrigo J. Navas Oreamuno, Head of Manufacturing at IDB Invest.
“We are proud to have both IDB Invest and IFC as strategic partners to support the Company achieve our long term vision. With our new manufacturing plant, Genomma Lab will be able to focus on lowering its production costs, and thus offering more affordable medicines and products across the region.”, said Mr Maximo Juda, CEO of the Company. “Both multi-lateral institutions will not only provide long-term financing but also key strategic advice given their extensive industry expertise in pharma and environmental matters”, added Mr. Antonio Zamora Galland, CFO of Genomma Lab
This would be IFC’s and IDB Invest’s first financing in the pharmaceutical sector in Mexico, an area with significant potential given the country’s highly recognized regulatory standards, as well as its well-established knowledge, credibility and cost-competitiveness in pharmaceutical production.
About IFC
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work with more than 2,000 businesses worldwide, using our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In FY17, we delivered a record $19.3 billion in long-term financing for developing countries, leveraging the power of the private sector to help end poverty and boost shared prosperity. For more information, visit
www.ifc.org
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About Genomma Lab Internacional
Genomma Lab Internacional, S.A.B. de C.V. is one of the leading pharmaceutical and personal care products companies in Mexico with an increasing international presence in 18 countries in Latin America and the U.S. Genomma Lab develops, sells and markets a broad range of premium branded products, many of which are leaders in the categories in which they compete in terms of sales and market share. Genomma Lab relies on the combination of a successful new product development process, a consumer-oriented marketing, a broad retail distribution network and a low-cost, highly flexible operating model.
Genomma Lab’s shares are listed on the Mexican Stock Exchange under the ticker “LABB” (Bloomberg: LABB:MM).
Contacto: Enrique Gonzalez Casillas inversores@genommalab.com
En Nueva York: Bárbara Cano +1 (646) 452 23 34 barbara@inspirgroup.com
About IDB Invest
IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to supporting Latin America and the Caribbean businesses. It finances sustainable enterprises and projects to achieve financial results that maximize economic, social and environmental development for the region. With a current portfolio of $11.2 billion under management and 330 clients in 23 countries, IDB Invest works across sectors to provide innovative financial solutions and advisory services that meet the evolving demands of its clients. As of November 2017, IDB Invest is the trade name of the Inter-American Investment Corporation.
www.idbinvest.org
Isabel Pérez del Puerto isabelpe@iadb.org
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