Monday, May 02, 2016
Cipla Ltd: Buy
According to The Economic Times, Cpla has set its sights on building a pipeline of speciality drugs in the United States. The company, India's third-largest drugmaker, plans to deploy more funds for research and development in respiratory, dermatology, neurology and oncology segments and hopes for the first commercial launch in the US around 2020.
Scouting for in-licensing opportunities is also part of the plan to jumpstart work, according to the company, which clocked over $2 billion in global sales last year.
Cipla's move is aimed at closing the gap with fellow drugmakers such as Sun Pharma, Dr Reddy's and Lupin. The drugmaker, which is going through an uneasy transformation process to professional management over the past four years, had partnered leading generic companies such as Teva but remained on the sidelines in the world's largest drug market.