Lupin latest Indian drugmaker to pull out of Japan

Indian pharma company Lupin (BSE: 500257) is in advanced talks to sell its Japanese generics subsidiary, Kyowa Pharmaceutical, to a local player. Stringent price regulations have played spoilsport and Japan has become an unattractive market for the Indian company.

Lupin’s exit from Japan follows many of its Indian peers like Ranbaxy, which was one of the first entrants in the market but exited its joint venture (JV) with Nippon Chemiphar in December 2009. Dr Reddy’s, Orchid Chemicals and Cadila Healthcare have also wound up their Japanese businesses.

In August this year, Lupin sold Kyowa’s Japanese Injectables business and related assets in Japan to neo ALA Co, a wholly-owned subsidiary of Neopharma group.