Updated on 5 February 2015
On February 02, 2015, Sun Pharma announced that the company received US Federal Trade Commission (FTC) clearance for Ranbaxy acquisition. Earlier in April 2014, Sun Pharmaceutical had announced that the company would purchase Ranbaxy from its current owner, Japan's Daiichi Sankyo Co, for $3.2 billion.
The FTC completed its review of the proposed acquisition of Ranbaxy by Sun Pharma and has granted the company early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act). The early termination of the waiting period under the HSR Act satisfies one of the essential conditions to the closing of the Ranbaxy acquisition. Sun Pharma and Ranbaxy are working closely towards completion of the transaction and will comply with the conditions laid down in the FTC consent agreement within the specified time. Once completed, this deal is said to create the fifth largest pharmaceutical company in the world and India's largest pharmaceutical company with operations spread over 65 countries and 47 manufacturing facilities across five continents.
Sun Pharma and Ranbaxy also announced that the FTC accepted a proposed consent agreement pursuant to which, Sun Pharma and Ranbaxy have agreed to divest Ranbaxy's interests in generic minocycline tablets and capsules to an external third party. Accordingly, under the proposed settlement, Ranbaxy's generic minocycline capsule assets will be sold to Torrent Pharmaceuticals, that markets generic drugs in the U.S.