Dr. Reddy’s Laboratories, Inc., a wholly owned subsidiary of Dr. Reddy’s Laboratories Ltd., has entered into a definitive agreement to acquire Mayne Pharma Group‘s U.S. generic prescription product portfolio for approximately $90 million upfront and contingent payments of up to $15 million. 

The portfolio includes approximately 45 commercial products, four pipeline products and 40 approved non-marketed products, including generic products focused on women’s health.

For the financial period ended June 30, 2022, Mayne Pharma reported total revenue of $111 million for the acquired portfolio. Approved high-value products include a hormonal vaginal ring, a birth control pill and a cardiovascular product.

The closing of the transaction is subject to customary closing conditions.

The acquisition complements Dr. Reddy’s U.S. retail prescription pharmaceutical business with limited competition products. It also supports Dr. Reddy’s efforts to accelerate and expand affordable medications for patients.

Marc Kikuchi, CEO, North America business, Dr. Reddy’s, said, “This important acquisition provides our North America organization with a significant foothold in the women’s health space. The acquisition is in line with our stated strategy to enhance our portfolio in our chosen growth markets. We are well-positioned to successfully integrate the portfolio and grow the business.”

“The U.S. has always been an important market for us. The portfolio of products acquired from Mayne Pharma is a strategic fit with our growth objectives,” said Erez Israeli, CEO, Dr. Reddy’s. “The portfolio includes some high entry-barrier products. It also complements our existing portfolio by introducing products focused on women’s health. Our strong balance sheet enables us to acquire products of strategic importance to strengthen our base business and build for long-term growth.”

According to IQVIA, the value of total addressable market for the pipeline and approved non-marketed products in the U.S. is approximately $3.6 billion for the calendar year ending in December 2022.