Dr Reddy's Laboratories (DRL) today said it has entered into an agreement with drug major Cipla and UK-based Vitabiotics to market over-the-counter (OTC) and prescription drugs, besides nutraceutical products, in Russia and CIS countries.
As per the agreement with Cipla, Dr Reddy's Laboratories has initiated sales and promotion of a select portfolio of OTC and prescription products in select therapy areas in Russia from the second quarter, the company said in a statement.
The launch of operations in Ukraine will take place in the next calender year, it added.
The company's agreement with Vitabiotics is for a range of nutraceutical products for Russia and select CIS countries. The agreement provides Dr Reddy's with exclusive marketing rights to two of Vitabiotics leading products, Jointace and Dietrim, it said.
The UK-based firm will supply these products on a long- term basis from its facilities in Europe, it added.
"The agreements give us access to a good number of products and OTC brands with existing sales that would immediately add to our revenues from the Russian and CIS market," Dr Reddy's MD and COO Satish Reddy said.
He further added: "We see long-term synergies, as Dr Reddy's has a strong sales and marketing network and our partners have a basket of products already registered and distributed in these markets."
DRL claimed it is the largest Indian pharmaceutical company in Russia. It entered the Russian market in 1992 and consolidated its position during the late 1990s.
"The agreement with Cipla will enhance Dr Reddy's presence in the OTC space and in therapy areas of gastroenterology, dermatology and oncology in both Russia and Ukraine," Dr Reddy's Head of Russia & CIS Region M V Ramana said.
Shares of DRL today closed at Rs 1,638.10 on the Bombay Stock Exchange, up 1.32 per cent from their previous close on Friday.