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Dr Reddy's Laboratories has completed the acquisition of GlaxoSmithKline's (GSK) oral penicillin facility and product portfolio in the US.
“Dr. Reddy's assumes the ownership of the penicillin manufacturing site in Bristol, Tennessee, US, and rights for the Augmentin and Amoxil brands in the United States,” the Hyderabad-based company said in a release on Wednesday.
GSK would retain the existing rights for these brands outside the US, it added.
The agreement to acquire the facility was singed by Dr Reddy's and GSK in November 2010.
Without disclosing financial terms and conditions of the transaction, the company said the buy was in line with its strategy to scale up its generics business in North America.
It would also bring in an opportunity to explore additional synergy with its other businesses, it added.
In 2009, Dr Reddy's had entered into a strategic partnership with GSK through which GSK gained access to a basket of 100 products of Dr Reddy's branded pharmaceutical segment to be sold in emerging markets.
Dr Reddy's scrip gained 2.93 per cent to end at Rs 1,640 on Bombay Stock Exchange on Wednesday.
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