Sun Pharmaceutical

Sun Pharmaceutical Industries Limited
Public company
Traded as BSE: 524715
NSE: SUNPHARMA
Industry Pharmaceuticals
Founded 1983
Founder Dilip Shanghvi
Headquarters Mumbai, Maharashtra, India
Key people
 Israel Makov
(Chairman)
Dilip Shanghvi
(Managing Director)
Products Pharmaceuticals, generic drugs
Revenue Increase ₹166.33 billion (US$2.6 billion) (2013-14)[1]
Increase ₹71.1 billion (US$1.1 billion) (2013-14)[1]
Increase ₹56.6 billion (US$900 million) (2013-14)[1]
Total assets Increase ₹138.37 billion (US$2.2 billion) (2013-14)[1]
Total equity Increase ₹293.7 billion (US$4.7 billion) (2013-14)[1]
Owner Dilip Shanghvi
Number of employees
 16,023 (March 2013)[2]
Website www.sunpharma.com

Sun Pharmaceutical Industries Limited (NSE: SUNPHARMA, BSE: 524715) is a multinational pharmaceutical company headquartered in Mumbai, Maharashtra that manufactures and sells pharmaceutical formulations and active pharmaceutical ingredients (APIs) primarily in India and the United States. The company offers formulations in various therapeutic areas, such as cardiology, psychiatry, neurology, gastroenterology and diabetology. It also provides APIs such as warfarin, carbamazepine, etodolac, and clorazepate, as well as anticancers, steroids, peptides, sex hormones, and controlled substances.[3]

Company

Sun Pharmaceuticals was established by Mr. Dilip Shanghvi in 1983 in Vapi with five products to treat psychiatry ailments. Cardiology products were introduced in 1987 followed by gastroenterology products in 1989. Today it is the largest chronic prescription company in India and a market leader in psychiatry, neurology, cardiology, orthopedics, ophthalmology, gastroenterology and nephrology.

The 2014 acquisition of Ranbaxy will make the company the largest pharma company in India, the largest Indian pharma company in the US, and the 5th largest speciality generic company globally.

Over 72% of Sun Pharma sales are from markets outside India, primarily in the US. The US is the single largest market, accounting for about 60% turnover;in all, formulations or finished dosage forms, account for 93% of the turnover. Manufacturing is across 26 locations, including plants in the US, Canada, Brazil, Mexico and Israel. In the US, the company markets a large basket of generics, with a strong pipeline awaiting approval from the U.S. Food and Drug Administration (FDA).[4]

Sun Pharma was listed on the stock exchange in 1994 in an issue oversubscribed 55 times. The founding family continues to hold a majority stake in the company. Today Sun Pharma is the second largest and the most profitable pharmaceutical company in India, as well as the largest pharmaceutical company by market capitalisation on the Indian exchanges.[5]

The Indian pharmaceutical industry has become the third largest producer in the world in terms of volumes and is poised to grow into an industry of $20 billion in 2015 from the current turnover of $12 billion. In terms of value India still stands at number 14 in the world.

Acquisitions and Joint Ventures

Sun Pharma has complemented growth with select acquisitions over the last two decades. In 1996, Sun purchased a bulk drug manufacturing plant at Ahmednagar from Knoll Pharmaceuticals and MJ Pharma's dosage plant at Halol that are both U.S. FDA approved today. In 1997, Sun acquired Tamil Nadu Dadha Pharmaceuticals Limited (TDPL) based in Chennai, mainly for their extensive gynaecology and oncology brands. Also in 1997, Sun Pharma initiated their first foray into the lucrative US market with the acquisition of Caraco Pharmaceuticals, based in Detroit.

In 1998, Sun acquired a number of respiratory brands from Natco Pharma. Other notable acquisitions include Milmet Labs and Gujarat Lyka Organics (1999), Pradeep Drug Company (2000), Phlox Pharma (2004), a formulation plant at Bryan, Ohio and ICN, Hungary from Valeant Pharma and Able Labs (2005), and Chattem Chemicals (2008). In 2010, the company acquired a large stake in Taro Pharma, Inc.,[6] amongst the largest generic derma companies in the US, with operations across Canada and Israel. The company currently owns ~ 69% stake in Taro,for about $260 million.[7]

In 2011, Sun Pharma entered into a joint venture with MSD to bring complex or differentiated generics to emerging markets (other than India).

In 2012, Sun announced acquisitions of two US companies: DUSA Pharmaceuticals Inc.,[8] a dermatology device company; and generic pharma company URL Pharma, Inc.[9] In 2013,the company announced an R&D joint venture for ophthalmology with the research company, Intrexon.[10]

On 6 April 2014, Sun Pharma announced that it would acquire 100% of Ranbaxy Laboratories Ltd,[11] in an all-stock transaction, valued at $4 billion. Japan's Daiichi Sankyo held 63.4% stake in Ranbaxy. After this acquisition, which is expected to close by end 2014, Sun Pharma would be the largest pharmaceutical company in India, the largest Indian Pharma company in the US,and the 5th largest generic company worldwide[12] In December 2014, the Competition Commission of India approved Sun Pharma's $3.2 billion bid to buy Ranbaxy Laboratories, but ordered the firms to divest seven products to ensure the deal doesn't harm competition.[13][14][15] Sun Pharmaceutical Industries Ltd, India's largest drugmaker by sales, said on Tuesday it has agreed to buy GlaxoSmithKline's opiates business in Australia to strengthen its pain management portfolio.[16]

People

Sun Pharma's Board of Directors include:[17]

SPARC

In 2007, Sun Pharma demerged its innovative R&D arm, and listed it separately on the stock market as the Sun Pharma Advanced Research Company Ltd. (NSE: SPARC, BSE: 532872). In 2013, SPARC declared revenue of Rs. 873 million.[18] SPARC focuses on new chemical entities (NCE) research and new drug delivery systems and offers an annual update[19] of its pipeline (NDDS).[20]

See also

References

  1. ↑ 1.0 1.1 1.2 1.3 1.4 (PDF) http://www.sunpharma.com/sites/all/themes/sunpharma/images/annual/2013-14%20SPIL-%20Annual%20Report.pdf. Missing or empty |title= (help)
  2. ↑ (PDF) http://www.sunpharma.com/download.php?download_file=Business%20Responsibility%20Report%202013-14.pdf. Missing or empty |title= (help)
  3. ↑ Sun Pharma Businessweek Profile
  4. ↑
  5. ↑ Crisil Ratings
  6. ↑ http://www.tarousa.com/
  7. ↑ Corporate Website: Acquisitions
  8. ↑ http://in.reuters.com/article/2012/11/08/dusa-sunpharma-idINDEE8A70AL20121108
  9. ↑ http://www.takeda.com/news/2012/20121218_5405.html
  10. ↑ http://investors.dna.com/phoenix.zhtml?c=249599&p=irol-newsArticle&ID=1860186&highlight=
  11. ↑ Sun Pharma-Ranbaxy Acquisition Deal - Bloomberg Tv India
  12. ↑
  13. ↑ http://in.reuters.com/article/2014/12/09/ranbaxy-lab-sun-pharma-regulator-idINKBN0JM1AY20141209
  14. ↑ http://en.wikipedia.org/w/index.php?title=Sun_Pharmaceutical&action=edit&section=2
  15. ↑
  16. ↑ http://in.reuters.com/article/2015/03/03/gsk-sun-pharma-deals-idINL4N0W520E20150303
  17. ↑ Corporate Website: Board of Directors
  18. ↑ SPARC Financial Results 2011
  19. ↑ http://www.sunpharma.in/SPARC%20Investor%20Update%20Feb%2026%202014.pdf
  20. ↑ SPARC Corporate Website

External links