The Origin

Year of Establishment February 1984

Founder Dr. Anji Reddy

Entrepreneur Scientist

1980-84 Standard Organics Limited

1976-80 Uniloids Limited
1969-75 Indian Drugs and Pharmaceuticals Limited

Dr.Reddy’s under Dr. Anji Reddy

Pioneer and Trendsetter in Indian Pharmaceutical industry

Turned around Indian Bulk Drug industry

Indian Bulk Drug industry

Mid-80s Import-dependent
Mid-90s Self-reliant
2000 onwards Export-oriented industry

• Transformed industry sobriquet from ‘Immitators’ to ‘Innovators’

• 1st Indian Pharma Company to take up Drug Discovery research

Corporate Overview

We are …
An Integrated Global Pharmaceutical Company

Our Purpose:
“To help people lead healthier lives”

Our Vision:
“To become a discovery led global pharmaceutical company”

Dual Impact Approach

• Improve accessibility through generic pharmaceuticals

• Satisfy unmet medical needs through new and improved

pharmaceuticals
Global Presence

Focus on US, Germany, India and Russia

Wholly-owned subsidiaries in the USA, UK, Russia, Brazil, New

Zealand, Turkey and Mexico

Joint Ventures in China, South Africa and Australia

Representative Offices in 16 countries

3rd party Distribution setups in 23 countries

Our Businesses

Near- Medium Term Value Creation Medium-Long Term Value Creation

PS
AI
Our Businesses : APIs

• Consistent Track Record : Profitable growth in last four years

• Products Commercialized
in Regulated Market : More than 25

• Products Commercialized
in Near-Regulated
Markets : More than 100

• Strong Relationships : Top tier global and regional generic

players in key markets

• Add Strategic Value : To the company’s finished dosage

businesses globally

• Core Platform : Provides high degree of vertical

integration & cost advantage

• Strong Customer Base : Servicing more than 800 customers

spread over 100 countries and Six
continents
Our Businesses : APIs

Regulatory Strengths

• Ranked No. 3 in US DMF filings Globally

• Ranked No. 1 in US DMF filings from India

• Dr. Reddy’s has

• 127 Active US DMFs

• 50 Canadian DMFs
• 69 EDMFs
• 21 CEPs
Our Businesses : APIs

Operations Capabilities

• Capabilities in Major Chemistries : 24

• Reaction Volume with Concurrent

scaling-up and Piloting : Over 2.3Mn Litres

• State-of-the-art Equipment and

Instruments : Six USFDA approved plants
in India
One USFDA approved plant
in Mexico
One USFDA inspected plant
in Mirfield, UK

• Fully Integrated Operations : Supply chain and ERP systems

(SAP R/3)

• Environmental Compliance : Contributing to a sustainable

world with zero liquid discharge
systems

• HPAI : Developed and commercialized

Highly Potent Active
Ingredients for Oncology formulations
Our Businesses : Custom Pharmaceutical Services

We are a partner of choice for Innovator companies with

service offerings spanning the entire value chain

•Strengths : Mexico provides critical mass and broadens

relationship with Innovator companies
Dowpharma/Chirotech acquisition in UK
provides proprietary chiral and biocatalysis
technology

•Services : Process research

Analytical development
Preformulation and formulation development
Clinical trial supplies
Pilot scale manufacture ( API and Dosage
Forms)
Product regulatory support

•Broad Client Base

• Large Pharma : More than Five

• Emerging Pharma, Biotech & Fine Chemical : More than Ten
Our Businesses : Custom Pharmaceutical Services

• R&D facilities : Three Centres with over 300 chemists &

engineers well-skilled in cGMP requirement
Separate Labs for Formulation development .
Total strength of 60 scientists

• Organic Chemistry Labs : Twenty One

• Formulation Development: Three

• Analytical Labs : Three

• Kilo Lab : One

• Unique Manufacturing
Capabilities : Steroid and Cytotoxic
Our Businesses : Generic Finished Dosages

Current Presence: USA, Germany, U

NA Established in 2001,
Over 29 products in the market
11 new products families launched
in FY08
Launched Private Label (Store
Brand) OTC
Ranitidine 150, Ranitidine 75,
Cetirizine 10mg in
EU Started operations in 1999, FY08
Acquisition of BMS in 2002 – over
30 products
Acquisition of betapharm in 2006 –
145 products
5th largest branded generic player
in Germany
Acquisition of Jet Generici Srl. In
Italy
Our Businesses : Generic Finished Dosages

Key Strengths

• Excellent control over supply chain

• We encompass all critical capabilities - Process development,

Submission of API dossier, Patent & manufacturing expertise

• Cost-effective/high speed development

• Track record of successful ‘Day 1 launches’ with significant

market share

• Our expertise in packaging recognized – WORLDSTAR,

ASIASTAR, AMERISTAR

• DIANA Award for North America recognizing efficient & innovative

business practices.
Our Businesses : Branded Finished Dosages

• Track Record : Consistent growth and sustainable

delivery of profits in last 16 quarters

• Market Presence : Products in over 45 countries

• Significant Presence : India (Ranked 10th)

Russia (Ranked 14th in retail segment)

• Market Sales Force : Over 2,000 (India, Russia, China)

• Focus on New Product

Launches : 15-20 new products launched annually

• Geography Expansion : Australia, New Zealand, Turkey

• Building Scale : South Africa, Brazil, Mexico

Our Businesses : Branded Finished Dosages

Broad Therapeutic Area Coverage

Our Businesses : Branded Finished Dosages

More than 200 brands collectively

Top Brands

Omez (Omeprazole) No. 1 in 14 countries

Stamlo (Amlodipine) No. 1 in 8 countries

Nise (Nimesulide) No. 1 in 7 countries

Ciprolet (Ciprofloxacin) No. 1 in 5 countries

Ketorol (Ketorolac) No. 1 in 5 countries

Enam (Enamapril) No. 1 in 2 countries

Our Businesses : Branded Finished Dosages

Global Oncology – Niche Therapeutic Area

 Leading position in India; growing at ~ 40%

 No 1 in the Filgrastim and Oxaliplatin markets

 No 2 in the Gemcitabine, Docetaxel and Temozolomide markets

 Global commercialization presence in US, Europe, India,Russia,

South Africa & Brazil

 Strong Biologics & Cytotoxic Manufacturing Infrastructure to

address the need of Oncology Market

 Robust portfolio of Targeted Therapies, Cytotoxic ,Anti-Hormonal

& also the Supportive Care

 Successful track record in business development & strategic

alliances
Our Businesses : Discovery Research

Two Discovery Research Centers

Hyderabad, India for analog based approach

Atlanta, USA for target-based approach

• NCEs under development : Three; with focus on cardiovascular,

metabolic disorders and cancer

• Calibrated Investments : For enhancing pre-clinical pipeline

• Accelerating Clinical
Development : Both in-house and through

partnerships

• Focus : Core therapeutic areas with a

project-based approach

• Scientists : Over 300

Our Businesses : Specialty Pharmaceuticals

Building : A branded, innovation-based business of

differentiated products

A Bridge :Between Core Businesses and Ongoing

Discovery Efforts

Technologies acquired from Trigenesis

7 Products with marketing rights across geographies and
technologies
Internally developed proprietary drug delivery platforms
(Ex. Micro-Spheres)
Current internal compounds under pre-clinical and clinical
development (Ex. Biologics, NCEs, etc)

• Focus TAs : Dermatology and Oncology

• Strong, Targeted Business

Development Effort : To accelerate market entry &
achieve critical mass
Our Businesses : Biologics

Aspirations

• Build a world-class Biosimilar development and

commercialization organization

• Leverage capabilities to accelerate the move up the Biologics

Value Chain

Products

Grafeel® (biosimilar G-CSF) launched in India and multiple other

geographies including Latin America, South East Asia & CIS
countries

Reditux® (biosimilar rituximab) launched in India

Medium term entry in Europe and North America

Pipeline

Two products in / near clinical development

Six products in pre-clinical development

Our Businesses : Biologics

People
Team of 250 with 35 PhDs comprising scientists with
significant experience in big biotech/pharmaceutical
companies in US/EU

Development Infrastructure
R&D facility that can accommodate parallel development of
upto four products with state-of-art facilities
World class animal facility dedicated to Biologics for pre-
clinical studies

Manufacturing Capacity
Mammalian cell culture capacity: 800 (4 X 200) Litres
Microbial fermentation capacity
Large-scale mammalian cell culture capacity expansion
(15000 Litres) by 2010
Integrated fill-finish capabilities
Infrastructure Bandwidth

• API Facilities : Six FDA-Inspected plants in India

One FDA-Inspected plant in Mexico
One FDA-Inspected plant in Mirfield, UK
more than 2.3 million litres reaction volume

Finished Dosage Units : Six in India, With ISO 14001 and ISO 9001
certifications, Approved by USFDA, MHRA
(UK), MCC (South Africa), TGA
(Australia), ANVISA (Brazil), TPP (Canada)
One FDA-Inspected plant in USA

Biologics Facility : One in India, audited by multiple regulatory

agencies

Custom Pharmaceutical
Services : Two Technology Development Centres (TDC)
in India and One in Cambridge, UK

Discovery Research
Centres : Hyderabad, India
Atlanta, USA
Integrated Product Development – a strong platform

tate-of-the-art IPDO Facility

First of its kind in India.
Creating a Prolific Global Generics Product Development Engine

 Integrate the product development

activity of APIs and Finished
R&D Team | Over 700 Dosages

Regulatory Team | Over 55  Increase speed, flexibility and

reliability
IP Team | Over 50
 Effective combination of chemistry
and formulation skills with legal,
regulatory and IP expertise
Integrated Business Model

IP
Framewo
rk

Drug
trategic value
Discovery across the
value-chain
Sales &
R&D
Pharmaceutical Marketin
g
Expertise Services and Active Capabilit bility to secure
Ingredients ies long-term cost
competitivene
ss
Finished
Dosages
everage R&D
Manufact (scale &
uring &
infrastructure)
Operation
across
al
Excellenc business
e
Corporate Governance

Committed to progressive governance

Adopted international governance practices & processes

Commitment to highest standards of disclosures & transparency

Only Pharma company from India to be listed on the New York

Stock Exchange

SOX Compliance

Code of Business Ethics

Financial Snapshot

(USD Mn)

Financial Year
Business Development

• Merck deal : Launched the AG version of Zocor® & Proscar® in June’06;

Authorized Settled Propecia
Generics & Patent
• GSK deal : Settlement in October’06 and enables early launch of AG version of
Settlements Immitrex® in the US in Q4 CY08 ahead of patent expiry in Feb 09

• Co-development & commercialization of NCEs : Rheoscience for Balaglitazone,

Pursuing
Argenta for new approach to treat COPD(1), ClinTec International for DRF 1042
Partnership &
Alliances • Expanding Portfolio : Partnerships and alliances in the US/EU, global in-licensing
for rest of the world markets

• Dow Pharma: A non-exclusive license to Dow’s Pfenex Expression Technology™ for

biocatalysis development.

• BASF: Strengthen the supply chain for North America

• betapharm : Access to 2nd largest generics market globally with significant entry
Acquisitions barriers

• Falcon (Mexico) : Build critical mass and broad-base customer relationships with
innovator companies in the Custom Pharmaceutical Services segment

(1) Chronic Obstructive Pulmonary Diseases

• World wide employees : 9500+
• India : 7878
• Germany : 394
• Rest of Europe : 101
• North America : 109
• Mexico : 322
• Rest of the World : 771

1700+ Research & Scientific staff

3300+ Marketing & Sales force
3300 + Manufacturing staff
40 + Nationalities
People – Our DNA

• Attract, Develop and Retain : Multi-skilled high-performers

• Create : A learning organization

• Develop and Nurture : Young leaders

• Promote : Teamwork and collaboration

• Build : A diverse workforce and

meritocracy
People – Our DNA

• Talent Management

• Learning and Development

• PerfECT (Performance Enhancement and Coaching Tools)

• Organizational Climate Survey

• Annual Celebrations to recognize excellence

• 3600 feedback Survey

• Alumni Network – Friends Forever

Fast-tracker program

Acceleration of career growth for high-performers

Track record

2008 Acquisition of BASF’ facility at Shreveport, US

Aquisiton of Dowpharma SmallMolecules business
2008 associated with Dow’s Mirfield and Cambridge, UK
Sites
World’s first biosimilar monoclonal anti-body ,Reditux
2007
(rituximab) launched
Fastest Indian Pharma Company to cross $1billion in
2007
annual revenue
1st manufacturing company to be Sarbanes-Oxley
2006
certified
2008 2006 1st authorized generic deal with multinational pharma
2007
2006 Key acquisition betapharm (Germany)
2006
2005 2005 Key acquisition “Falcon” (Mexico)
2001
2001 1st to be listed on the New York Stock Exchange
1997
1993 1997 1st to out-license an NCE to a multinational pharma

1993 Discovery Research commenced

Commitment to Sustainability

We are committed to Access and Affordability of

medicines through a business model that prioritizes
the manufacture of affordable generic medicines
and investment in discovery of new molecules that
meet unmet and poorly met medical needs.
Triple Bottom Line Approach…

Dr.Reddy’s Foundation – Livelihoods & Education

Patient Assistance Programs & DRHFE

Employee Engagement - Volunteer Program & Power of Ten

Customer: FDA approved, Product safety (Pharmco vigilance)

Zero Liquid Discharge & SHE technologies
Environment: ISO 14001 & OHSAS 18001certified facilities
Suppliers: mySAP business Suite
Corporate Governance
Employees: Policies / Talent Mgmt Board / Leadership devpt / BPE

To help people lead healthier lives through global access to medicine

Triple Bottom Line Approach…

• Nurture & Train : Employable young adults from

financially weak backgrounds

• Livelihoods created so far : 1,50,000

• Aim : To create 1 million livelihoods by 2010

• Centres : Sri Lanka and Vietnam

• Tie-up : With major corporates for

customized manpower training

Result:

Over 80% beneficiaries reported an increase in their earnings

through successful recruitment or by becoming entrepreneurs
Achievements

NDTV Profit Business

Dun & Bradstreet American
Leadership Awards 2007
Express
Business Leader in the
Corporate Awards 2007
Pharmaceutical Sector

Best Corporate Social

Pharma Excellence Awards
Responsibility Initiative
2006-07 for sustained Growth
2007
The Indian Express
BSE - India

Best Employers in India 2007 Asia-Pacific HRM Congress

Award 2007
Hewitt Associates & The Economic Global HR Excellence Award for
Times Innovative HR Practices