'Cipla in talks to buy Hetero Drugs' US biz'

Drug maker Cipla is in talks to acquire Hetero Drugs' US business, a media report said on Thursday. The deal values the US business at $500-550 million and will give Cipla access to generic drug portfolio and abbreviated new drug application pipeline, the report said.

US business accounts only eight per cent of Cipla's revenue and the company is keen to expand the share. If the deal fructifies it will be the second large acquisition by an Indian company in US in two months.

"Cipla does not comment on any product or partner discussions. As a pharmaceutical company, we are constantly in discussions with multiple parties on potential collaboration opportunities - in line with our aspiration to drive access and ensure availability of high quality, affordable medicines," a company spokesperson said.

Cipla Global Chief Executive Subhanu Saxena had said last week that the company's future growth will largely be organic and added the firm was not under any compulsion to do mega acquisitions.

He added the firm would continue with its strategy of developing joint ventures with pharmaceutical firms in other countries.