Dr Reddy's to buy Roche's Mexican unit for $59mn

Dr Reddy's Laboratories has signed an agreement to acquire the bulk drug business of Roche in Mexico for $59 million.

According to a release issued by Dr Reddy's to the stock exchanges today, the product portfolio of Roche's bulk drug business currently comprises about 18 products including mature active pharmaceutical ingredients (APIs) and a range of intermediates and steroids.

"With the acquisition of Roche's API business in Mexico, Dr Reddy's will emerge as a leading player in custom pharmaceutical services (CPS) business, and position itself as a partner of choice for innovator companies across the globe with service offerings spanning the entire value chain of pharmeceutical services," G V Prasad, CEO of Dr Reddy's, said.

The acquisition is expected to be completed by the end of December 2005, the release added.