Big pharma, M&A

Sun Pharma and Ranbaxy engage in M&A transaction

Posted on 07 April 2014

Tags: , , ,

Sun Pharmaceutical agreed to m&a transaction to buy competitor Ranbaxy Laboratories for $3.2 billion from Japan’s Daiichi Sankyo, which paid 61 percent more for the company five years ago.

Ranbaxy investors will get 0.8 share in Sun for every one of their shares, or about 457 rupees.

Daiichi Sankyo, which owns 63.5 percent of Ranbaxy, paid 737 rupees a share in 2008.

Ranbaxy would give Sun control over the competitor’s pipeline of generic products and help it expand in markets including Russia and Brazil.

The company also needs to resolve production problems that led the Food and Drug Administration to ban four Ranbaxy plants from exporting to the U.S.

The deal will also give Sun Pharma access to three major products that Ranbaxy has tentative FDA approval to sell in the U.S.: generics of Novartis’s blockbuster Diovan, AstraZeneca’s Nexium and Roche’s Valcyte.

Since Ranbaxy was first to file applications for the three products, it’s entitled to 180 days of exclusivity if given final FDA clearance.

Ranbaxy’s products include the generic version of Pfizer’s cholesterol-lowering drug Lipitor.

For further deal information visit Current Agreements (subscription required)



Read: Big pharma deal news – latest deal news for top 50 pharma / big pharma companies

View: Top 50 pharma – overview of top 50 pharmaceutical companies by revenue – partnering activity, deal news, partnering dealtalk

Report: Merger and Acquisition Terms and Agreements

Browse: Complete Current Partnering report catalog

View: Current Partnering’s Partnering Scorecard – view top life science partnering deals by value

View: Current Partnering’s Deal Metrics – the latest deal trend infographics for life science deal making

View: Current Partnering’s Big Pharma Deal Making Scorecard – latest trends in big pharma deal making activity

View: Current Partnering’s Big Biotech Deal Making Scorecard – latest trends in big biotech deal making activity

Signup: Current Partnering Dealmakers Update – weekly newsletter providing the latest life science industry deal news, deal making trends, partnering events – sign up now

Signup: Current Agreements Deals Review – monthly newsletter – reviewing the previous month’s life science deal making – partnering, M&A and financing – sign up now

Subscribe: Current Agreements life sciences partnering, M&A and financing deals database – find out more

Follow us on: LinkedIn Current Partnering | LinkedIn Business Development Network | @Currentpartner on Twitter

Print Friendly, PDF & Email

Leave a Reply