Multinational drug firm Fresenius Kabi, which acquired Dabur Pharma, is looking to expand the latter's oncology business globally with plans of investing up to € 30 million (about Rs 190 crore) in the next 2-3 years.

The investments will go primarily into doubling production capacity of Dabur Pharma's active pharmaceutical ingredients (API) manufacturing facility in Kolkata. The company is also working on increasing the business of Dabur Pharma to regulated markets such as Europe and North America. It would also work for getting approval from the US Food and Drug Administration for the Indian firm's formulation facility in Baddi, Himachal Pradesh.

The company plans to use the existing formulation manufacturing facility for supplying products to regulated markets of Europe and North America where Fresenius Kabi has a strong distribution and sales network. The company also said it was looking to offload about one per cent stake in Dabur Pharma as per SEBI guidelines.

Earlier, Fresenius Kabi had acquired 73.27 per cent in Dabur Pharma from its promoters and certain other shareholders in April. Further, Fresenius Kabi made an open offer for an additional 20 per cent stake in the firm.

After the completion of the open offer, Fresenius Kabi has 90.9 stake in Dabur but according to SEBI guidelines, for any listed firm promoters can hold up to 89.9 per cent stake. Therefore the company is looking to sale around one per cent stake. Post acquisition, Dabur has a board of nine member out of which six are appointed by Fresenius Kabi.