Ranbaxy to be acquired by Sun Pharmaceutical Industries

Ranbaxy has announced that it entered into a definitive agreement to be acquired by Sun Pharmaceutical Industries.

The $4 billion (2.41 billion pounds) deal will result in the creation of the fifth-largest specialty generics company in the world and the largest pharmaceutical business in India, with operations in 65 countries and 47 manufacturing facilities across five continents.

With a significant platform of specialty and generic products marketed globally, the combined company will have estimated revenues of $4.2 billion, with earnings of $1.2billion in 2013.

The deal will give Sun Pharma a significant presence in the Indian pharma market and in the US, while Ranbaxy will benefit from its new parent company's track record of creating significant long-term shareholder value.

Arun Sahwney, managing director and chief executive officer of Ranbaxy, said: "We are confident that Sun Pharma is the ideal partner to help us realise our full potential and are excited to participate in future value creation opportunities."

Ranbaxy serves companies in more than 150 countries and was previously owned by Daiichi Sankyo, which will become a significant shareholder of Sun Pharma following the conclusion of the deal.