Nectar Lifesciences, the pharmaceutical company backed by private equity major New Silk Route, is betting big on entering the world’s largest pharmaceutical market, the United States, for launching its own finished drugs next year, according to a senior company official.
With detailed plans for entry into regulated markets like the US and the UK, the Rs 850-crore Nectar Life aims to touch a revenue of Rs 2,500-3,000 crore by 2015. The company targets to achieve 50% of the projected revenue from the regulated markets. It plans to launch its own finished cephalosporin products in oral and injectable forms in these markets.
In March 2010, US-based private equity firm New Silk Route Partners (NSR) had picked up a above 30% stake in Nectar Life for Rs 250 crore at Rs 35 per share. The deal was structured through a combination of global depository receipts (GDRs) and fresh shares.
The Chandigarh-based company will file 7-8 abbreviated new drug application (ANDA-for marketing approval) with the US Food and Drug Administration next year and is likely to start marketing the products in a couple of years time.
Speaking to VCCircle, Dinesh Dua, CEO& director, Nectar Life, said, “We will file our first ANDA in March 2011 and 6-7 ANDAs later in 2012. We expect the revenue gain from the US market by 2013-14. Simultaneously, the Cephalosporin products will also be launched in the UK market following regulatory approval.”
The cephalosporin market where Nectar Life eyeing in the US is estimated at $2.5 billion. “We aim Rs 500-600 crore revenue from the US in initial years,” he added. However, Nectar has currently no plans for setting up subsidiaries abroad. The company is looking for marketing alliances in the regulated markets.
Nectar Life, which has presence in 50 countries through exports, is one of the leading suppliers of Cephalosporin API (active pharmaceutical ingredient) in the world.