Icelandic Generics Producer Actavis in Indian Acquisition

Iceland-based generic drugmaker Actavis has announced plans to acquire Indian clinical trials specialist Lotus Laboratories for roughly EUR20mn (US$25.52mn). The purchase is to be financed from the firm's existing resources.

Actavis claims that the deal will allow the company to reduce R&D spending and support entry to the US generics market. The company has also secured an agreement with another Indian drugmaker, Emcure Pharmaceuticals, which envisages the Indian producer manufacturing three of Actavis' products for the US market. The deals come at a time when many low-cost Indian firms stand to gain from the recent relaxation of regulations against clinical research in the country.