Ranbaxy gets US nod for acne treatment

The product was jointly developed by Canadian group Cipher Pharmaceuticals and Galephar Pharmaceutical Research, while Ranbaxy holds the US marketing rights.

Post approval, Cipher will receive a USD 9 million milestone payment from Ranbaxy, of which USD 4.5 million would be shared with Galephar, the Canadian company said.

Cipher will also get a royalty on net sales from Ranbaxy - majority owned by Japanese company Daiichi Sankyo.

The US acne treatment market was worth about USD 400 million in 2011.

Absorica will be the flagship brand for Ranbaxy's specialised dermatology sales force, Venkat Krishnan, senior vice president, Ranbaxy for America region said. Valued USD 4 billion, Ranbaxy Laboratories shares ended down 0.9% at Rs 525.20.