Dr Reddy's acquire Eton Pharma's injectable products for $50 million

Dr Reddy's Laboratories Ltd on Friday announced that it has acquired a portfolio of branded and generic injectable products from USA-based Eton Pharmaceuticals, Inc for USD 50 million.

A press release from the Indian drug maker said, the portfolio includes the Biorphen (phenylephrine hydrocholoride) injection and Rezipres (ephedrine hydrochloride) injection NDAs (New Drug Applications) with nine separate combinations of strengths and presentations and one first-to-file approved ANDA ( abbreviated new drug application) for Cysteine Hydrochloride for the USA.

One strength each of Biorphen and Rezipres are currently commercially available in the USA. The acquisition will complement Dr Reddy's USA's institutional business with limited competition injectable products, it said.

Under the terms of the agreement, Dr Reddy's acquired the Eton portfolio for an upfront payment of approximately USD 5 million in cash, besides contingent payments of up to USD 45 million.

The acquisition supports Dr Reddy's efforts to accelerate and expand affordable medications for patients, the release said.

"Long before the COVID-19 pandemic, there have been concerns about access to some critical care products for hospitals and health systems. This acquisition provides our North America organisation with a foundational footprint to help address products that are not always readily available for patients. For these and many other reasons, I believe we are well-positioned to integrate the portfolio and grow the business," Marc Kikuchi, Chief Executive Officer, North America Generics, Dr Reddy's said.

The value of total addressable market for these products in the USA is approximately USD 174 million for the calendar year ending in April 2022, Dr Reddy's said quoting market figures.