Dr. Reddy's Laboratories announced on Friday that it has struck a deal with Novartis AG to purchase the Cidmus cardiovascular medication brand in India for $61 million (about Rs 463 crore). Dr Reddy's will be assigned and transferred the Cidmus trademark in India from Novartis AG for a fee of $61 million, according to a regulatory filing by the Hyderabad-based pharmaceutical company.
The Cidmus brand will be assigned to a pharmaceutical composition that contains a combination of Valsartan and Sacubitril (now patented by Novartis) and is intended for heart failure patients with a reduced ejection fraction, according to the company. The tablets come in three different strengths. Cidmus recorded sales of Rs 136.4 crore in India for the most recent twelve months ending in February 2022, according to IQVIA MAT data.
Dr Reddy's plans to use its large customer base to engage with healthcare professionals, as well as expand the product's reach beyond metros into tier-I and tier-II markets in India, through its strong marketing and distribution network, to provide more access to patients in need, according to the company.
Cidmus' acquisition is yet another endeavour by a large pharmaceutical company to provide access to well-known brands for healthcare professionals and patients. Given the high frequency of cardiovascular disorders in India, this acquisition will enable Dr Reddy's to provide patients with a trusted portfolio of medicines, according to the company. The medication will complement the company's existing cardiovascular portfolio, which includes leading brands like Stamlo, Stamlo Beta, Reclide-XR, and Reclimet-XR, and will help it achieve its goal of breaking into the top 10 cardiac players in the Indian pharmaceutical market, according to the company. It will also boost Dr Reddy's foothold in the chronic area in India, as the company's India business continues to be a strong growth driver and priority market, according to the company.
"Cidmus will be a strong addition to the company’s existing portfolio in the cardiovascular segment alongside its leading brands such as Stamlo, Stamlo Beta, Reclide-XR and Reclimet-XR, and will take it closer to its ambition of breaking into the top 10 cardiac players in the Indian pharmaceutical market," the company said.
It will also strengthen the presence of Dr. Reddy’s in the chronic space in India as its India business continues to be a solid growth driver and focus market.
