Ranbaxy Laboratories Limited plans to acquire the unbranded generic business of Allen S.p.A, a division of GlaxoSmithKline (GSK), in Italy, through Ranbaxy' s Italian subsidiary, Ranbaxy Italia S.p.A. The deal will come into effect from April 01, 2006.
Commenting on the acquisition, Malvinder Mohan Singh, CEO and MD, Ranbaxy Laboratories Ltd., said, "This acquisition of the Allen Generic business from GSK will fast track Ranbaxy' s growth plans in Italy. This product portfolio complements Ranbaxy's own pipeline of products for the Italian market and will enable the Company to utilise opportunities arising from future patent expiries."
Ranbaxy's Italian operation, Ranbaxy Italia S.p.A., was incorporated in September 2005. It is currently engaged in filing Ranbaxy' s portfolio of generic products with the Italian Health Authorities and plans to launch this portfolio over the coming years. Ranbaxy plans to launch its first product, 'Sertralina Ranbaxy', in May 2006.
Italian generic market is one of the fastest growing markets in Europe. As per IMS, December 2005, the value of the Italian generic market was approximately EUR 350 million (US$ 420 million), with an annual growth rate of 49%. The total pharmaceutical market is worth approximately EUR 11.6 billion (US$14 billion).
Ranbaxy has a presence in 21 of the 25 EU countries and is rapidly consolidating its presence in Europe. The Company already has significant operations in the UK, France and Germany, stated the release.
Allen S.p.A., is owned by GSK, which has operated in Italy since 1932. More than 3000 people work in Italy for GSK: in the Psychiatry R&D Centre of Excellence for Drug Discovery; in two state-of-the-art certified manufacturing plants; at the head offices in Verona and Milan; and around the country as medical representatives. GSK markets and distributes a wide range of prescription-only and consumer healthcare products in Italy.