Sun Pharmaceutical Group13
-
Upload
priyanka-baramate -
Category
Documents
-
view
224 -
download
0
Transcript of Sun Pharmaceutical Group13
-
8/7/2019 Sun Pharmaceutical Group13
1/12
-
8/7/2019 Sun Pharmaceutical Group13
2/12
Agenda
1. Introduction.
2. Modes of Foreign Entries.
3. Acquisitions and Finances.
4. Major Strategies.
5. LPG Policy.
6. Looking Ahead.
-
8/7/2019 Sun Pharmaceutical Group13
3/12
Introduction
Established in 1983 as a start-up company with 5products
Makes speciality pharmaceuticals and active
pharmaceutical ingredients
Listed on stock exchange in India in 1994 after an IPO
First international acquisition in Caraco in 1997
Sun today has 19 manufacturing locations worldwideand strong ground network of 400 committed field forcein 30 countries
-
8/7/2019 Sun Pharmaceutical Group13
4/12
Modes of Foreign Entry
Initial equity stake technology for equity agreement
Brand buyout , Mergers and acquisitions
Promotional programmes
Purchased Niche brands in US
Initial foreign markets remained in the Asian region
( export operations through new products)
-
8/7/2019 Sun Pharmaceutical Group13
5/12
Major acquisitions
Year Country Acquisition
2008 US
Caraco acquired some
products of Forests Inwood
business
2008 Tennessee, US Acquired Chattem Chemicals,Inc.
2005 New Jersey, US Assets of Able labs
2005 Ohio, US Formulation plant in Bryan
2005 Hungary Acquired ICN Hungary2004 US Women's Health Brands
1997 Detroit, US Acquired Caraco
-
8/7/2019 Sun Pharmaceutical Group13
6/12
International sales(55%)Domestic sales(45%)
Asia
Africa PacificUS
0
2,000
4,000
6,000
8,000
10,000
95-96 96-97 97-98 98-99 99-00 00-01 01-02 02-03 03-04 0
9
18
27
36
45
8 Early Acquisitions
Net Sales (MINR) Operating Margin(%) Operating Profit (MINR)
-
8/7/2019 Sun Pharmaceutical Group13
7/12
Major Strategies
Combination of internal growth and acquisition to drivegrowth , mergers
Vertically integrated network across four continentsenabling high quality, low cost and a quick market
entry across the geographies Strong local sales force promotes brands to doctors
Brazil & Mexico - Mix of local production and exportfrom India as per market dynamics
Product expansion
R & D for new product development supportedcompanys exports in US and Europe
-
8/7/2019 Sun Pharmaceutical Group13
8/12
Cost effectiveness of products with high quality
Inspection compliance plans from regulated and semi
regulated markets
Skilled personnel in R & D, manufacturing & marketing
and regulatory areas
Reasons for Growth
-
8/7/2019 Sun Pharmaceutical Group13
9/12
LPG Policy
LPG have helped the Indian pharmaceutical companiesto achieve international recognition
Approved by US FDA and are listed at NASDAQ.
Sun Pharmaceutical focused on new productdevelopment and have grown tremendously.
-
8/7/2019 Sun Pharmaceutical Group13
10/12
Government Control
Reduced DPCO coverage. Only 20 % exposure toDPCO
Customs duties and corporate taxes have beenlowered
Product patent regime ( WTO )
Less legal binding for Pharmaceutical industry toencourage new promoters
Global networked facilities are FDA, EMEA, TGA
approved
-
8/7/2019 Sun Pharmaceutical Group13
11/12
Looking Ahead
The Sun Pharma of tomorrow will have brandsregistered in major markets of the world, and in mostmarkets, promoted by a high quality field force
Their innovation-based R&D programs were recentlydemerged into a separate company. The new R&Dcompany may seek to licence out
-
8/7/2019 Sun Pharmaceutical Group13
12/12