​Sun Pharma, Ranbaxy get USFTC conditional nod for merger;stks gain

MUMBAI: Sun Pharmaceuticals and Ranbaxy Laboratories are now a step closer to becoming the world's fifth-largest generic drug company. The US Federal Trade Commission (USFTC) has given a conditional nod to Sun Pharma for the proposed $4-billion merger with Ranbaxy.

The USFTC has asked Ranbaxy to sell generic minocycline drug rights to meet fair trade norm. Torrent Pharma is reported to buy minocycline drug rights.

Sun and Ranbaxy will supply minocycline tablets and capsules to Torrent until the company establishes its own manufacturing infrastructure.

FTC has appointed an interim monitor to ensure that Torrent receives the support it needs from Sun and Ranbaxy during the divestiture process.

At 09:35 a.m.; Sun Pharmaceuticals was at Rs 938.25, up 2.43 per cent, on the BSE. It touched a high of Rs 942 and a low of Rs 925 in early trade.

Ranbaxy was at Rs 722.45, up 2.67 per cent, on the BSE. It touched a high of Rs 728 and a low of Rs 706.25 in early trade.