Emerging Trends & International Firms Case of RANBAXY LABORATORIES

1. Chapter 3 Emerging Trends & International Firms Case of RANBAXY LABORATORIES

2. Main International Strategy Acquisition of Genric brands overseas 1962: Ranbaxy Ltd. began manufacturing in India 1973: Company went public 1975: Export Strategy depending upon opportunities 1977: First international joint venture in Lagos (Nigeria) – Joint Venture Strategy 1982: Dr. Parvinder Singh elevated as M D 1985: Ranbaxy Research Foundation 1987: Production at modern plant at Toansa (Punjab), which got US FDA approval

3. 1990: Ranbaxy was granted US patent for Doxycycline 1992: Joint Venture in India with Eli Lilly & Co. of USA to market select Lilly products 1993: Joint Venture in China – China Ranbaxy (Guangzhou China) 1994: (i) Estd. Regional Headquarters in London (UK) and Raleigh (USA); (ii) Ranbaxy’s GDR got listed in Luxembourgh Stock Exchange 1995: Ranbaxy acquired Ohm Lab, a manufacturing facility in the US, and established US subsidiary

4. 1997: Ranbaxy crossed sales turnover of Rs.10,000 million with its exports reaching an all time high of Rs.5,000 million 1998: Ranbaxy entered USA, with products under its own name 1999: Bayer AG Germany and Ranbaxy signed an agreement where Bayer obtained exclusive development and world wide marketing rights to an oral formulation of Ciprofloxacin, developed by Ranbaxy

5. 2000: (i) Acquisition – Ranbaxy acquired Bayer’s generics business (trading under the name of basics) in Germany; (ii) Forayed into Brazil and achieved global sales of US$ 2.5 million in this market 2001: (i) Set up a manufacturing facility with an investment of US$ 10 million; (ii) Ranbaxy USA crossed sales of US$ 100 million 2003: Ranbaxy and GSK global strategic alliance for drug discovery and development. Ranbaxy leveraged its early product development strengths

6. 2004: Acquisition in France – Ranbaxy began operations in France, After acquiring a subsidiary of RPG (Aventis) 2005: (i) Ranbaxy’s Antimalarial molecule was launched in Canada; (ii) Opened third R&D facility on Gurgaon campus; (iii) Joint Venture in Japan – Nippon Chemiphar (JV) with Ranbaxy) launched Vogseal for Diabetes; (iv) Acquired generic product portfolio (18 drugs) from EFARMFS of SPAIN, for sale in SPAIN.

7. MOVING INTO HIGH GEAR - 2006 January 2006: Malvinder Singh assumed charge as MD and CEO March 21, 2006: Ranbaxy’s US arm buys patents, trademarks, and automated manufacturing equipment from Senetek for its disposable autoinjector for self-administration of parenteral drugs for anaphylactic shock Business Today, September 10, 2006, p.67

8. March 27, 2006: Ranbaxy’s Italian subsidiary acquires the unbranded generic business of Allen, a division of GlaxoSmithKline, to complement its own pipeline for the Italian market. March 29, 2006: Buys 96.7 per cent of Romanian drug maker Terapia from Advent International for $324 million (Rs 1,522 crore). Combined with Ranbaxy’s own operations in Romania, the Terapia acquisition creates Romania’s largest generics firm. Business Today, September 10, 2006, p.67

9. March 30, 2006: Acquires generics company, Ethimed, a top 10 player in Belgium. Provides Ranbaxy a base from where to manage and expand its operations in the Benelux countries. July 18, 2006: Ranbaxy’s Spanish subsidiary purchases the Mundogen generics business of GlaxoSmithKline in Spain. The acquisition beefs up Ranbaxy’s product portfolio in the country. Business Today, September 10, 2006, p.67

10. RANBAXY’S WORLD Total Revenues : Rs.5,188 crore Global Revenues : Rs.3,891 crore Market Cap : Rs.15,077 crore No. of Countries where it is present : 49 Countries where it has manufacturing units : 8