SUN PHARMA ALL SET TO TAKE OVER RANBAXY LABORATORIES

TNI News Service

Webdesk, TNI Mumbai, 8^th April, 2014: Sun Pharma is all set to take over Ranbaxy Laboratories. Earlier in 2008, the Daiichi Sankyo of Japan had bought the companies states for $4.2 billion in mid-2008. According to the sources, Sun Pharmaceutical Industries is spending around $3.2 billion (about Rs 19,200 crore at the current exchange rate) in stock, an announcement for which was made on Monday. Daiichi Sankyo will now have just 9% in Sun Pharma, which is currently worth $2 billion. Ranbaxy suffered ban by USFDA from selling in the US as the FDA said that it found serious lapses in manufacturing during its various inspections of concerned factories. This was not taken fondly by Daiichi Sankyo. According to its official’s much important information was kept secret by the Ranbaxy unit from them. According to the experts, this episode had downgraded the reputation of Indian Pharmaceutical companies in the International market. However, it may not affect the Indian firms by the foreigners as of now. Dilip Shanghvi, the MD of Sun Pharma, indicated as much on Monday. The purpose of the acquisition, he said, was not to look at synergies between the two companies but to enforce compliance so that Ranbaxy can resume exports to the US at the earliest.

Graphics: TNI Creatives