Strides' Brazilian unit inaugurates sterile antibiotics facility

Bangalore, May 11, 2007: Cellofarm Ltda. announced the inauguration of its state-of-the-art sterile injectable facility for Penems and Penicillins at Compos in Rio de Janeiro, Brazil.

Built at a cost of US$ 30 million, this state-of-art-facility will become a global site for the Strides group's growing sterile business.

Speaking on the occasion, Mr. Elcemar Almeida, who heads the Latin American Operations, stated "This facility is an important expansion strategy for both the Brazilian operations and Strides group. We are delighted with this major financial and technical commitment the group has made in Brazil and we are confident that the Brazilian operations will continue to play a significant role in the Strides growth strategy".

About Cellofarm and Strides Arcolab Limited: Cellofarm Ltda., is one of the fastest growing pharmaceutical company in the hospital and generic space in Brazil and is a part of the Strides Group.

Strides, listed on the Bombay Stock Exchange Limited [532531], India and National Stock Exchange of India Limited (STAR), India, is one of India's largest exporters of branded generic pharmaceutical products. Strides manufacture pharmaceuticals formulations in various dosage forms, including capsules, tablets, liquid injectables and is one of the world's top five manufacturers of soft gel capsules. Strides also has the only globally dedicated soft gel facility for hormones. In addition, Strides undertakes contract research and the manufacturing of specialty chemicals for various multinational companies. Strides has a major presence in various developing countries in Africa, Latin America and Asia as well as in developed markets such as the US, Canada and part of Europe. Strides is one of the largest Indian suppliers of institutionally funded aid projects and is an approved supplier to the World Bank, the African Development Bank and UNICEF, amongst others.

Strides has 14 manufacturing plants spread across the US, Brazil, Mexico, Italy, Poland, Singapore and India. This broad manufacturing network facilities partnering with global organizations ranging from UNICEF and WHO-Global Drug Facility to European and American pharmaceutical multinationals and also private labelers and distribution chains. Strides has product registrations in over 37 countries around the world and has earned ISO 9001, ISO 14001 and GMP accreditations including USFDA. Strides employ approximately 1,700 people across the globe. Strides also have a marketing presence in over 50 countries.

Additional information is available on the Company's website at www.stridesarco.com.