Ranbaxy is understood to have emerged as the sole Indian pharma entity to have moved into the next round of bidding for the generic business of Merck, even as compatriot Cipla claimed to be "very much in the race."
Industry sources said Ranbaxy has joined the likes of Teva, Mylan and Actavis to the next round for acquiring the estimated six billion dollars generics business of the German company. Cipla had teamed up with a group of private equity firms for the bid.
When contacted, Cipla joint managing director Amar Lulla declined to comment on the specifics, but asserted that the consortium was "very much in the race."
However, confusion prevailed as sources in the know of the development said it was only Ranbaxy Laboratories from India, which had made it to the next round.
Ranbaxy officials declined to comment on the developments. The company had earlier stated that it had made a non-binding bid for Merck's generics business.
Company CEO and managing director Malvinder Singh stated that Ranbaxy was looking to evaluate the assets and were going to be very practical about it.
"We are not in a rat race for acquisition but are focussed on creating value for shareholders in the best way we can," he said.
Merck is hiving off its generic unit to concentrate on branded formulations.
Earlier, another Indian company Dr Reddy's Laboratories was also in the race but it had pulled out citing over-valuation.
Shares of Ranbaxy were last trading up by Rs 1.75 per share at Rs 312.80, whilst Cipla was trading down at Rs 225.50.
Ranbaxy gets tentative US nod for Zolpidem
Ranbaxy Laboratories Ltd has said it has received a tentative approval from the US Food and Drug Administration to manufacture and market anti-insomnia Zolpidem Tartrate tablets in the US.
The company has got the approval to manufacture and market Zolpidem Tartrate tablets in multiple strengths of 5 mg and 10 mg, Ranbaxy said in a statement.
Zolpidem Tartrate tablets are a generic version of Sanofi Aventis' Ambien Tablets. The drug has a total annual sales of $2.12 billion in the US, it said.
The drug would be manufactured at the company's Ohm Laboratories facility in New Jersey. Zolpidem Tartrate Tablets are indicated for the short-term treatment of insomnia and related disorders.
"We are pleased to receive this tentative approval for Zolpidem Tartrate tablets. This product will be launched following final approval from the FDA and presents yet another opportunity for Ranbaxy to expand its product portfolio by offering an affordable generic alternative," Ranbaxy Pharmaceuticals Inc vice president sales and marketing Jim Meehan.
