Sun Pharma looking to buy Sweden’s Meda

Generics and biosimilars Initiative

Building trust in cost-effective treatments

Inscribirse
eng / esp

Sun Pharma looking to buy Sweden’s Meda

INICIO/Noticias Farmacéuticas | Posted 07/06/2013 0 Post your comment

India-based Sun Pharmaceutical Industries (Sun Pharma) is reportedly in talks to acquire Swedish drugmaker Meda for US$5–6 billion.

Meda makes specialty products, over-the-counter (non-prescription) products and branded generics, which could be used to expand Sun Pharma’s portfolio. Meda’s products fall within five therapy areas: respiratory, dermatology, cardiology, pain and inflammation, and central nervous system.

Generics giant Sun Pharma is already India’s biggest drugmaker by market value, and is looking to expand in Europe. The process is at an early stage and may not lead to a deal, and Sun Pharma may also be looking at other potential targets. Meda has a market value of Kronor 25.8 billion (US$3.89 billion).

Sun Pharma reported a 33% growth in its consolidated net sales, and its operating profit margin stood at 44% for the quarter ended December 2012. In its 30-year history, Sun has made about 14 acquisitions in India and overseas. The company also owns 66% of Israeli company Taro Pharmaceutical Industries [1] and recently acquired US-based companies Dusa & URL Pharma. It is now not only India’s biggest pharma company, but bigger than its three rivals (Cipla, Dr Reddy’s and Lupin) put together.

Meda, however, has denied that it is in talks with Sun Pharma, stating that ‘there are currently no such discussions’. And, to add insult to injury, Meda also announced that it will be ‘broadening its collaboration’ with Sun Pharma’s rival Cipla, ‘expanding its exclusive rights to Dymista (azelastine and fluticasone nasal spray) and future product development’.

Related articles

Sun Pharma ends attempt to gain full control of Taro

Sun Pharma’s US operations partially on track

Reference

1. GaBI Online - Generics and Biosimilars Initiative. Sun Pharma offers to buy remaining Taro shares [www.gabionline.net]. Mol, Belgium: Pro Pharma Communications International; [cited 2013 Jun 7]. Available from: www.gabionline.net/Pharma-News/Sun-Pharma-offers-to-buy-remaining-Taro-shares

Permission granted to reproduce for personal and non-commercial use only. All other reproduction, copy or reprinting of all or part of any ‘Content’ found on this website is strictly prohibited without the prior consent of the publisher. Contact the publisher to obtain permission before redistributing.

Source: Bloomberg, Meda, Reuters, Sun, The Wall Street Journal