SunPharma and Ranbaxy .docx - SUN PHARMA AND RANBAXY MERGER Abstract Sun Pharmaceutical Industries Ltd is the world\u2019s 5 th largest genetic

SunPharma and Ranbaxy .docx - SUN PHARMA AND RANBAXY MERGER...

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SUN PHARMA AND RANBAXY MERGER Abstract Sun Pharmaceutical Industries Ltd is the world’s 5 th largest genetic pharmaceutical company after buying Ranbaxy Laboratories from Japan’s Daiichi Sankyo Co. ltd worth $3.2 Billion in April 2014. Mr. Dilip Shangvi who is the founder of Sun Pharmaceuticals is planning to realized synergies through the merger, however, he is facing many challenges in controlling Ranbaxy part of the merged part. The managing director has to find solutions of the challenges being faced and has to ensure the growth of the merged part. About Sun Pharma Sun Pharmaceutical Industries Ltd was set up in 1983 by Dilip Shanghvi, found in Mumbai and is India’s largest generic pharmaceutical company. As it is a multinational pharmaceutical company, the company manufactures and sells a large basket of medicines over 150 countries. Over 72% of Sun Pharma sales are from other countries, mainly in US. Today, Sun pharma is a well-known company as it is the second largest pharmaceutical company by its market capitalization on the Indian exchanges and it was also listed on the stock exchange in 1994. Moreover, Sun Pharma had 13 acquisitions between 1997 and 2012. First of all, in 1997, it made a purchase of Detroit- based Caraco Pharmaceutical Laboratories and two other Indian pharma firms namely Tamilnadu Dadha and MJ Pharmaceuticals Ltd. In 2010, Sun Pharma bought a majority stake in Israel-based Taro Pharmaceutical Industries, which had doubled the revenue in US from $484 million to $1.1 billion and within two years, it also acquired two more pharmaceutical industries in US. The company has a record of 20 successful acquisitions.
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About Ranbaxy Ranbaxy laboratories ltd was an Indian Pharmaceutical company which was set up in 1961 and is found in Gurgaon. Ranbaxy was a research based and international pharmaceutical company producing a wide range of affordable and quality of medicines across many countries. Ranbaxy remained an entity until April 2014. Ranbaxy’s focus on Research and Development has caused in several approvals in markets because of which Novel Drug and Delivery Systems and technologies developed its own labs. Furthermore, Ranbaxy is a member of Daiichi Sankyo Group which is a leading global pharma innovator found in Japan and holds almost 63.4% stake of the Ranbaxy. The laboratory went public in February 1973 and was acquired by Daiichi Sankyo in 2008.
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Sun Pharmaceutical’s Acquisition of Ranbaxy Sun Pharma acquired 100% of Ranbaxy Laboratories in April 2014 for $4 billion in order to create World's fifth largest specialty generic pharma company. Under terms of the agreed deal,
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