Drug maker Lupin is looking to replicate its Japanese business model of expansion through acquisitions in markets like Latin America, Europe and Canada as it looks to strengthen overseas business by FY 13.
The Mumbai-headquartered firm, which is eyeing over USD 300 million in the next two years from the Japanese market on the back of its recent acquisition of I'rom Pharmaceuticals and existing business, said markets like Brazil, Argentina and Europe are on the priority for similar activity.
"For lucrative markets like Brazil, Argentina and Europe, we are looking at replicating what we have done very well in the past -- replicate how we entered the Japanese market -- by acquiring beachheads that would help us grow into the market," Lupin Ltd President Finance & Planning, CFO said.
At present, in Brazil the firm has a tie up with state-run Farmanguinhos for market of its products, while in Argentina it has arrangements with third parties to distribute WHO-approved TB drugs. Asked if the company is looking beyond Brazil and Argentina in Latin America, he said: "In terms of markets of interest, we are currently evaluating entries into certain markets in Latin America.
Similar is the case with Central and Eastern Europe, he added. In countries like Germany and UK, Lupin already has its subsidiaries. He, however, did not share details about the intended investments in these markets but added that it would be similar to the Japanese market.
Already Lupin has established operations in Mexico and Canada and has started filing for products in these markets. "Both Mexico and Canada are very lucrative markets from a Lupin standpoint and have great synergies with our market leadership and current strengths in oral contraceptives, central nervous system and diabetes therapy segments," he said.
Lupin recently enhanced its presence in Japan with the acquisition of I'rom Pharmaceuticals in November this year for an undisclosed amount. Lupin is now eyeing a jump of over 80 per cent in its revenues to USD 300 million from the Japanese market in the next two years.
Besides, the company said it is looking at augmenting its brands business in the US with brand acquisitions, similar to its acquisitions in the past.
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