Drugmaker Cadila Healthcare, which operates under the brand Zydus Cadila, has decided to acquire Teva Pharmaceutical Industries Ltd's two abbreviated new drug applications (ANDAs), to strengthen its US portfolio, as per a stock market disclosure.
While the financial details of the transaction are not disclosed, the total market size of the two ANDAs is estimated to be around $200 million.
The acquisition, transacted through Zydus’ wholly owned subsidiary Zydus Worldwide DMCC, will be financed through internal accruals. The acquired portfolio comprises an ANDA, which is already commercialized, and a pipeline ANDA, which is a transdermal patch— a medicated adhesive patch placed on the skin to deliver a specific dose of medication through the skin.
The ANDAs are being divested by the Israel-based drugmaker as a pre-condition to its acquisition of Allergen's generic business. The acquisition of thee ANDAs is, however, subject to approval by the US Federal Trade Commission.
“This is an important acquisition which will help Zydua expand its existing portfolio in the US and strengthen its pipeline of complex generic products,” said Pankaj Patel, chairman and managing director, Zydus Group, in the statement. “Zydus will continue to pursue more inorganic opportunities in the US market,” he added.
Zydus has made significant investments in the transdermal manufacturing technology and had also acquired a transdermal manufacturing facility in the US a few years ago.
Zydus, headquartered in Ahmedabad, makes a range of drugs. It employs about 16,500 people and aims to become a research-based pharmaceutical company by 2020.
Zydus is the second Indian drugmaker to acquire Teva’s brands this month. A week ago, Dr Reddy's Laboratories Ltd said it has agreed to buy eight generic drugs in the US from Teva and Allergan for $350 million (around 2,350 crore) in cash.
In March, Zydus said its subsidiary Zydus Healthcare had acquired gastrointestinal brand Actibile from Kolkata-based drug firm Albert David for an undisclosed amount.
In January, it acquired some animal health and manufacturing operations at Haridwar in Uttarakhand from US animal health company Zoetis Inc.
Like this report? Sign up for our daily newsletter to get our top reports.