More contestants for Merck KGaA generics

Following German drugmaker Merck KGaA's announcement that it is looking at possibilities for divesting its generics business, India's Ranbaxy was the first to reveal its interest (Marketletter January 29).

Such a deal was viewed to be too large for Ranbaxy but, according to a report in the Hindustan times, it may have found a consortium of local pharmaceutical companies, together with the Blackstone Group and Carlyle Group, to achieve its ambition.

Since then, acquisitive Icelandic generics firm Actavis has also expressed a desire to purchase the Merck business, which has an estimated value of $5.2-$7.1 billion.