Lupin Ltd, India’s fourth-largest drug-maker by sales, on Thursday said it is acquiring US generics company Gavis for $880 million (over Rs 5,610 crore) to strengthen its presence in its largest market, the US.
Lupin Ltd Chief Executive Officer Vinita Gupta said: “This is a pivotal acquisition for Lupin as it aligns with our goal to expand and deepen our US presence.”
The company has entered into a “definitive agreement to acquire privately held GAVIS Pharmaceuticals LLC and Novel Laboratories Inc (GAVIS), subject to certain closing conditions, in a transaction valued at USD 880 million, cash free and debt free”, Lupin said in a statement.
Lupin said buying privately held GAVIS would give it access to 66 generic drugs for which the New Jersey firm has sought approval, representing a potential market value of $9 billion.
“This is a time of globalisation for the speciality pharmaceutical industry… I am confident that the combined entity will be a powerhouse in the US specialty space and will significantly enhance Lupin’s US platform,” Gavis Founder and CEO Veerappan Subramanian said.
Lupin reported a 16% drop in its consolidated net profit for the quarter ended June 30.
Sourced by: PTI