Dr Reddy's To Acquire Select Business Divisions Of Wockhardt In India
India is an important market for us and this acquisition will help in considerably scaling-up our domestic business," said GV Prasad, Co-Chairman and Managing Director of Dr Reddy's.
Photo Credit :
Dr Reddy's Laboratories Ltd said on Wednesday it has entered into a definitive agreement with Wockhardt Ltd to acquire select divisions of its branded generics business in India and a few other international territories of Nepal, Sri Lanka, Bhutan and Maldives for a consideration of Rs 1,850 crore.
The business comprises of a portfolio of 62 brands in multiple therapy areas such as respiratory, neurology, vendor management system, dermatology, gastroenterology, pain and vaccines which will transfer to Dr Reddy's along with related sales and marketing teams. It will also include the manufacturing plant located at Baddi in Himachal Pradesh with all plant employees. The business undertaking is being transferred on a slump sale basis.
"India is an important market for us and this acquisition will help in considerably scaling-up our domestic business," said GV Prasad, Co-Chairman and Managing Director of Dr Reddy's.
The acquired portfolio will enhance Dr Reddy's presence in the high growth therapy areas with market-leading brands like Practin, Zedex, Bro-zedex, Tryptomer and Biovac, he added.
"We believe the portfolio holds a lot of potential and will get an impetus under Dr Reddy's. We welcome the team joining as part of the deal to Dr Reddy's family," said Prasad.
The transaction is expected to close in the first quarter of new financial year 2020-21 beginning April 1.
Dr Reddy's is an integrated pharmaceutical company providing affordable and innovative medicines for healthier lives. Through its three businesses -- pharmaceutical services and active ingredients, global generics and proprietary products, the company offers a portfolio of products and services including APIs, generics, biosimilars and differentiated formulations.
Dr Reddy's operates in India, the United States, Russia and the Commonwealth of Independent States (CIS) countries, and Europe.