Moneycontrol Be a Pro
Get App
Last Updated : Nov 13, 2019 08:10 PM IST | Source: Moneycontrol.com

Expect FTC nod for $900 million Sandoz deal before December: Aurobindo Pharma

The company had announced the acquisition of Sandoz's dermatology and formulations business in September last year, making it the largest outbound deal by an Indian pharma company.

 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

Aurobindo Pharma, India's second-largest drug maker, on November 13 said it is expecting the nod of US antitrust watchdog Federal Trade Commission (FTC) for its $900 million Sandoz deal in the next few weeks.


Sandoz is the generic arm of Swiss-pharma giant Novartis.

"Things have been moving along positively and we believe that we have substantially addressed all the requirements to obtain (FTC) approval," said Swami Iyer, CFO - North America, Aurobindo Pharma, at the company's earnings call.

Close

Iyer said the company expects the approval to come in the next few weeks, possibly before December.

The company had announced the acquisition of Sandoz's dermatology and formulations business in September last year, making it the largest outbound deal by an Indian pharma company.

However, the closure of the deal got delayed for reasons the company never made public. It hinted that the delay was on account of queries related to product and their transfers.

The Economic Times earlier this month reported that FTC was digging into a lawsuit that involves the Indian drugmaker.

Regulatory issues


Aurobindo also clarified that it is expecting re-inspection of its three manufacturing facilities, which are under  USFDA scanner in the fourth quarter of FY20. USFDA issued warning letter to Unit-11, and classified Unit-9 and Unit-11 as official action indicated (OAI).

The warning letter and OAI have put lid on around 20 new approvals filed from these  plants.


 "With regards to closure of CAPAs (corrective and preventive action), we are sending our response (to USFDA) before November 15," said N Govindarajan, MD of Aurobindo Pharma.


Are you happy with your current monthly income? Do you know you can double it without working extra hours or asking for a raise? Rahul Shah, one of the India's leading expert on wealth building, has created a strategy which makes it possible... in just a short few years. You can know his secrets in his FREE video series airing between 12th to 17th December. You can reserve your free seat here.
First Published on Nov 13, 2019 08:10 pm
Loading...
Follow us on
Available On