Specialty pharmaceutical manufacturer Hi-Tech Pharmacal will pay a total of $2.5 million plus up to to $1.75 million in royalties to Dynova Laboratories for a line of homeopathic nasal sprays including the Sinus Buster and Allergy Buster brands, which Hi-Tech will sell through its Health Care Products OTC division. The Sinus Buster formulation includes capsaicin, and the Allergy Buster spray also adds nettle. Both are available in US retail stores. According to the company, the nasal spray line net sales exceeded $3 million in 2011.
Hi-Tech Pharmacal President and CEO David Selzer commented, “With the addition of these products we are well positioned to benefit from the growing trend toward natural, homeopathic treatment options. These brands create a good strategic fit for Health Care Products as we expand our presence in the cough-cold and allergy categories. We are very excited to add Sinus Buster and Allergy Buster to our growing consumer products portfolio. We expect this acquisition will be accretive to earnings, and will contribute to the company’s long term growth.”
Hi-Tech already markets a generic fluticasone proprionate nasal spray, which is its best selling product, as well as an albuterol inhalation solution. In a separate press release, the company reported that in the quarter ending January 31, 2012, sales of fluticasone propionate increased to $21,800,000 from $17,900,000.
Read the Hi-Tech Pharmacal press release on the nasal spray acquisition.
Read the Hi-Tech Pharmacal press release on its 3rd quarter results.
