Indian speciality generic druggmaker Sun Pharma has delved into Japan’s prescription medicines market with a line of Novartis drugs in tow.
The Mumbai-based multi-national is acquiring a portfolio consisting of 14 established prescription brands from Novartis for a cash consideration of $293 million.
The brands have combined annualised revenues of around $ 160million and address medical conditions across several therapeutic areas, the firm noted.
Under the terms of the deal, Novartis will continue to distribute the brands, for a certain period, pending transfer of all marketing authorisations to a Sun Pharma subsidiary, which will then hand over marketing and distribution responsibilities to “a reliable and established” local partner.
According to IMS data, the Japanese pharmaceutical market is estimated to be worth some $73 billion, accounting for over 7% of the $1 trillion global market.
“Japan is a market of strategic interest for us,” stressed Dilip Shanghvi, Sun’s managing director. “This acquisition marks Sun Pharma’s foray into the Japanese prescription market and provides us an opportunity to build a larger product portfolio in the future.”