India Proposes Stricter Rules For Local Buy-Outs By Foreign Firms
This article was originally published in The Pink Sheet Daily
A proposal by an Indian government department may make buy-outs of existing local drug units difficult for global companies. The new provisions include removal of a non-compete clause and several other pre-conditions for the buyer.
You may also be interested in...
MUMBAI - The Indian government has decided to route all foreign direct investments in existing Indian companies via the Foreign Investment Promotion Board, a surprising move that could have far-reaching implications on big ticket M&As in the country's pharmaceutical industry
A rising number of enforcement actions by major drug regulators like the U.S. FDA is slowly making investors cautious about the longer term repercussions on earnings of Indian drug makers.
In a bold move, little known Indian drug firm Lee Pharma has applied for a compulsory license for saxagliptin in India, contending that AstraZeneca sells the diabetes drug at an exorbitant local price and that it is not being made sufficiently available. Lee also says that the originator has not responded to calls to collaborate.