India's leading drug-maker Ranbaxy acquired Terapia, the largest independent generic company in Romania, for $324 million in 2006.
Ranbaxy aims to make Romania its manufacturing hub in Europe. The deal, which saw Ranbaxy acquiring 96.7 per cent stake in Terapia, gave the Gurgaon-based company two manufacturing units, bioequivalence centres, 60 products and access to Terapia's coverage of nearly 4,000 pharmacies and 450 hospitals in Romania.
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Ranbaxy's acquisition of Terapia comes at a time when the company needs to give a boost to its European presence in view of shrinking margins in the US market. In case you didn't know, India has some of the lowest pharmaceutical prices in the world.
Ranbaxy also bought out Russian generic drugs maker Akrikhin for an estimated $100 million. The company is also on the prowl in Canada in a bid to strengthen its global footprint.
Image: Malvinder Singh, Ranbaxy President
Also read: 'Ranbaxy is what it is because we took risks'
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