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Dr Reddy’s Laboratories Ltd said it has entered into a definitive agreement with Therapiva Private Ltd, an emerging generics pharmaceutical company, for the sale of its Active Pharmaceutical Ingredients (API) manufacturing business unit located in Jeedimetla.
Therapiva is a joint venture between Abu Dhabi and Laxai Life Sciences Private Ltd and Omnicare Drugs India Private Limited, a wholly owned subsidiary of Neopharma LLC.
Sanjay Sharma, Executive Vice President and Head, Global Manufacturing Operations, Dr Reddys said, the divestiture of our API manufacturing business unit is a step towards streamlining its manufacturing operations and optimising the cost structures.
He added, “We are confident that we have found in Therapiva, a buyer-partner who fully understands and appreciates the business unit and its people as a powerful strategic asset. This acquisition represents a unique opportunity to further strengthen Therapiva’s position as a premier supplier of APIs.”
CEO of Therapiva and Laxai Life Sciences, Vamsi Maddipatla said, “There is a strong cultural fit between our companies and we are excited to welcome the employees of Dr Reddy’s to accelerate our ambitious growth plans.”
He added, “We are very excited with this acquisition which will augment Neopharma’s vertical integration advantage and provide us with a high-quality manufacturing base in India.”
Chairman of Neopharma LLC, Abu Dhabi, BR Shetty said, “This is a key milestone in our acquisition strategy over the next few years to increase Neopharma’s presence in the global generics space.”
