In an interesting development, two Indian pharma companies are shelling out around Rs 700 crore or over $90 million collectively to buy a cardiac brand each from global pharma company Novartis AG for the Indian market.
Dr Reddy’s Laboratories (DRL) is paying Novartis AG $61 million or over Rs 450 crore for a cardiac brand Cidmus while JB Chemicals is shelling out a little over $30 million or Rs 246 crore for another cardiac brand Azmarda.
Both brands are oral prescription medications used to treat heart failure.
The reason both companies are buying these brands is to tap into the fast-growing non-communicable disease market in India and within that the even faster-growing cardiac segment. Cardiovascular disease is a non-communicable disease or NCD, which basically means that the disease cannot be transmitted from one person to another.
Watch the accompanying video of CNBC-TV18’s Ekta Batra for more details.
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