Cipla has compled its $ 550-million (around Rs 3575 crore) acquisition of US generic drug makers InvaGen and Exelan. This gives the 80-year-old Indian drug maker a bigger presence in the lucrative US market. This is its second major acquisition after the Rs 2,700-crore deal to buy South African drug firm Medpro in 2013.
While Lupin and Sun Pharmaceuticals earn 40-50 per cent of their revenues from the US, Cipla’s share from the geography is much smaller. The US accounts for eight per cent of Cipla’s revenue and the company aims to increase the share to 20 per cent over the next few years. The deal, which was announced last September, will give Cipla access to InvaGen’s manufacturing facilities and research and development capabilities. The combined revenue of InvaGen and Exelan was $230 million in 2015.