Dr. Reddy's Laboratories announced that it has realigned its Global
Generics finished dosages strategy to focus on certain key geographies
and would gradually exit some of the very small distributor driven
markets. The markets being exited would have an overall contribution of
less than 1% to the topline. In addition to the US, India, Russia & CIS
and Germany where the operations are already very large contributing to
approx 90% (fig. for 9 months ended Dec 2008) of the Global Generics
revenues, the company will continue operations in 10-15 markets wherein
the company’s finished dosages sales are growing significantly.
This move represents an important new focus in the Global Generics
business to consolidate and grow the Company’s presence in the key
geographies where it already has a considerable presence. The exercise
would result in reduction of complexity of operations on one hand and
help in significantly enhanced customer service and market share on the
other.
Outlining the rationale behind this move, Satish Reddy, MD and COO, Dr.
Reddy’s said, “We intend to aggressively step up our presence in our key
markets with this strategic prioritization. The market prioritization
exercise would lead to redeployment of resources within the
organization. The company will however continue to scan opportunities
and attractiveness of international markets in line with its business
strategy.”
About Dr. Reddy’s
Established in 1984, Dr. Reddy's Laboratories (NYSE:RDY) is an emerging
global pharmaceutical company with proven research capabilities. The
Company is vertically integrated with a presence across the
pharmaceutical value chain. It produces finished dosage forms, active
pharmaceutical ingredients and biotechnology products and markets them
globally, with focus on India, US, Europe and Russia. The Company
conducts research in the areas of cancer, diabetes, cardiovascular,
inflammation and bacterial infection. For further information please
see: www.drreddys.com
Disclaimer
This press release includes forward-looking statements, as defined in
the U.S. Private Securities Litigation Reform Act of 1995. We have based
these forward-looking statements on our current expectations and
projections about future events. Such statements involve known and
unknown risks, uncertainties and other factors that may cause actual
results to differ materially. Such factors include, but are not limited
to, changes in local and global economic conditions, our ability to
successfully implement our strategy, the market acceptance of and demand
for our products, our growth and expansion, technological change and our
exposure to market risks. By their nature, these expectations and
projections are only estimates and could be materially different from
actual results in the future.
Dr. Reddy's Laboratories
Investors and Financial Analysts:
Kedar
Upadhye, +91-40-66834297
kedaru@drreddys.com
Raghavender
R, +91-40-66511529
raghavenderr@drreddys.com
Milan
Kalawadia, 001-908-203-4931 (North America)
mkalawadia@drreddys.com
Media:
Mythili
M, +91-40-66511620
mythilim@drreddys.com
Rajan
S, +91-40- 66511725
rajans@drreddys.com
