Vivimed Labs & Strides Shasun to form two JVs to tap US generic market

While JV in India will own US FDA-approved plant in Alathur, Singaporean JV will own certain ANDAs

Last Updated : May 22 2017 | 5:09 PM IST

Vivimed Labs Ltd, a pharmaceuticals & specialty chemicals company, has signed agreements with Strides Shasun Ltd to set up two joint venture companies. The 50:50 JV in India will own Vivimed’s US FDA inspected finished dosage formulation (FDF) facility in Alathur (Chennai, Tamil Nadu), while the 50:50 JV in Singapore will own certain approved ANDAs and product pipeline.

Vivimed believes the JV partnership with Strides Shasun offers its portfolio of products the synergies from Strides Shasun’s existing front end in the US market. This coupled with Vivimed’s product development pipeline for the US offers the JV a strong opportunity to grow its footprint aggressively. The Alathur facility, was acquired by Vivimed in 2013, has successfully completed 2 US FDA inspections and has expanded its capacity to 1.5 billion SOD per annum.

“This transaction is aimed at bring scale to our presence in the US FDF market; this equal JV brings together an optimum mix of our manufacturing strength, product development capability and Strides Shasun’s front end presence and marketing expertise. We believe this will place all the stakeholders in a position of strength and lend greater scale to our aspirations for the US generic market. The US market is evolving at a rapid pace in terms of market access, product selection and consolidation of the distributor landscape. The coming together of Vivimed’s US generic franchise and Strides Shasun is likely to multiply our strengths and, script a win-win equation for both the partners in the coming years,” said Santosh Varalwar, managing director, Vivimed Labs Ltd, in a press release on Thursday.