Abstract

The global generic drugs industry was witnessing a trend towards acquisitions and consolidation. Between 2005 and 2007 there were a number of high profile M&A deals in this industry as the top companies such as Teva, Sandoz, Barr and Mylan consolidated. The top companies were also eyeing Indian pharmaceutical companies for M&A deals considering that the Indian pharmaceutical companies provided value that went beyond providing just a low-cost manufacturing platform.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Environmental analysis
• Reasons for consolidation
• and Reasons for the growing attractiveness of Indian pharmaceutical companies as targets for M&A deals.

Keywords

Generic drugs industry, pharmaceutical, consolidation phase, M&A, Mylan, Merck, Teva, Sandoz, global market for generic drugs, Barr, Watson, Actavis, Ranbaxy, Dr Reddy’s Laboratories Ltd (DRL), emerging market, Ivax, Hexel, Pliva, low-cost manufacturing, betapharm, patent law