International BusinessOrchid Chemicals targets Rs 4900 crore in 3 years
Pharma major Orchid Chemicals and Pharmaceuticals Ltd has set a target to become a $1-billion (Rs 4,900 crore) company in the next three years, said its managing director K Raghavendra Rao. The company registered an income of Rs 1,191.44 crore in 2008-09.
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“In Australia, we are the first generic company to launch this product,” he said.
The two premium carbapenem generic products have a major market in the US and Europe. “They have an over $1-billion opportunity and we expect this segment to contribute to the revenue basket from early 2010-11,” Rao said on the sidelines of the annual general meeting on Wednesday.
On whether the company has lined up any capex, Rao said, “In next two years, we are not planning to invest. Instead, whatever profit the company makes in the coming years will be used to pay back debts.” The company has a debt of Rs 2,500 crore, including working capital.
Commenting on the new subsidiary — Orchid Pharma Japan KK — he said it would start generating revenues in the next 18 months.
The company is finalising an initial basket of seven generic dosage products for Japan filings and is developing detailed action plans for three prioritised injectable dosage from products targeted for filing in 2010.
Orchid’s entry into Japan was in keeping with its plan to focus on new and emerging markets. Japan is the second largest global pharmaceutical market, Rao said adding the company had also entered China, West Asia, Russia, Africa and other Asian countries.