Views on Zydus Cadila- Acquires two ANDA's form Teva: Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP Research- Pharma, Angel Broking) on Zydus Cadila - Acquires two ANDA's form Teva:

"Zydus Cadila has acquired 2 ANDA's by its 100% subsidiary Zydus Worldwide DMCC. Zydus has strengthened its US portfolio with ANDAs acquisition from Teva that are being divested by Teva as a pre-condition to its acquisition of Allergan's generic business. The estimated market size of two ANDAs put together is nearly US$200mn. The acquired portfolio comprises an ANDA which is already commercialised and one pipeline ANDA which is a transdermal patch. The transaction will be financed through the group's internal accruals. Zydus has made significant investments in the transdermal manufacturing technology and had also acquired a transdermal manufacturing facility in the US a few years ago. Given that the products are in the transdermal segment and the competition is expected to be limited, hence would add to the overall profitability. We maintain our BUY rating with a price target of INR 400."

Shares of CADILA HEALTHCARE LTD. was last trading in BSE at Rs.316 as compared to the previous close of Rs. 313.35. The total number of shares traded during the day was 83976 in over 2974 trades.

The stock hit an intraday high of Rs. 320 and intraday low of 310. The net turnover during the day was Rs. 26551931.

Source : Equity Bulls

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