PROJECT REPORT

CIPLA LIMITED
 Introduction
 Cipla is a market-leading medicine maker in India. The company has roughly 1,500
pharmaceutical products in more than 60 therapeutic categories. Some are sold
domestically, while the rest reach international markets in more than 150 countries. It offers
prescription drugs for all kinds of ailments -- arthritis, cancer, depression -- as well as over-
the-counter drugs for colds, oral hygiene, and skin care. Cipla leads the domestic retail
pharmaceutical market. The firm also makes bulk drugs, agrochemicals, and animal
products. It has eight manufacturing plants located throughout the country. Cipla was
founded as The Chemical, Industrial, & Pharmaceutical Laboratories by Khwaja Abdul
Hamied in 1935.

 Cipla develops and manufactures more than 200 generic Active Pharmaceutical Ingredients
(APIs) used in making finished drugs. It makes APIs for more than 300 partners around the
world. The company continuously adds to its development pipeline to expand its reach
across key therapeutic segments. Respiratory products include metered dose inhalers, dry
powder inhalers, nasal sprays, nebulizers, and inhalation accessories.
 Strategic focus
 Cipla has been busy inking deals to push for further growth. It has recently established
subsidiaries in Sri Lanka and Morocco and has set up teams in
Myanmar, Nepal, Malaysia, and other markets. It also plans to invest heavily (up to £100
million) in its UK subsidiary over the next few years; the unit established a joint venture with
Cooper Pharma and The Pharmaceutical Institute in 2015 that will focus on respiratory and
neurology products.

 Key strategic focus areas include building up its pipeline portfolio, strengthening its
manufacturing operations and supply chain, and simplifying its organization (including
processes and systems). In fiscal 2015 the company's flagship product, salmeterol-
fluticasone, was introduced into the markets in Croatia, Germany, the Czech
Republic, Slovakia, Belgium, and Hungary. Also that year Cipla in-licensed darbe poetin; it
launched the generic drug sofusbuvir (for the treatment of hepatitis C) in India under the
brand name HepCvir. It established a marketing partnership with BioQuiddity for post-
surgical pain management treatment. OneDose, ReadyfusOR, and its European division
signed a distribution agreement with Serum Institute of India to market pediatric flu vaccines
in Europe.

 During fiscal 2015, Cipla received approvals for some of its respiratory pipeline in Europe. In
the US, it gained approval for Lopinavir oral pellets for pediatric-specific treatment in infants.
Financial Highlights
Operational Highlights
Shareholding Pattern
 Shareholding Pattern
Promoters

Foreign Institutions

Banks & MF

Others

General Public

Financial Institutions

Foreign Promoters

Majority of share are held collectively by Promoters and Foreign Promoters. Rest GDR
of the shares are held considerably by Mutual Funds and General Public. Financial
Institutions holds very less percent of total of shares
Dr Y.K. Hamied is Non-Executive Chairman of
the Company, and represents the second
generation of Cipla’s founding family. A
world-renowned scientist, Dr Hamied
obtained his PhD in organic chemistry in
1960 from the University of Cambridge
under the tutelage of the Nobel laureate
Lord Alexander Todd.

Mr. M. K. Hamied is a science graduate from

Bombay University and has vast and varied
experience in all functions of the Company
including production, technical areas, quality
management and general administration.He is
Non-Executive Vice-Chairman of the
Company and represents the second
generation of Cipla’s founding family.
Ms Samina Hamied is the Executive Vice-
Chairperson of the Company, and represents
the third generation of Cipla’s founding
family. Samina is a MSc in International
Accounting and Finance from the London
School of Economics and Political Science. An
alumna of the London School of Economics,
she has in the past worked in UK and the US
with the leading global firm.

Mr Ashok Sinha is an Independent Non-

Executive Director of the Company. He has a
B.Tech. degree in Electrical Engineering
from the Indian Institute of Technology
(IIT), Kanpur and Post Graduate Diploma in
Management from the Indian Institute of
Management (IIM), Bangalore with
specialisation in Finance.
Umang Vohra has been Managing Director
and Global Chief Executive Officer (MD
&GCEO) of Cipla since September 2016.
Umang joined Cipla in October 2015 as its
Global Chief Financial Officer, and from
January 2016 to August 2016 was Cipla’s
Global Chief Operating Officer.

Kedar Upadhye has been Joint President and

Global Chief Financial Officer of Cipla since
August 2016, heading its Global Finance and
Information Technology functions. Prior to
joining Cipla, Kedar was Vice
President, Finance, and Head of Investor
Relations at Dr. Reddy’s Laboratories. He has
previously worked with Pepsi India and the
Thermax Group. Kedar is a qualified Cost
Accountant and Company Secretary
Geena Malhotra has been President and
Global Head – Manufacturing Operations and
Respiratory Centre of Excellence of Cipla
from November 2018. Prior to this role, Geena
was Global Head of Integrated Product
Development of Cipla from 2013 to 2018.
Geena Malhotra completed her Bachelors in
Pharmacy in 1985 from Mumbai, and received
her Executive MBA degree from Washington
University, St. Louis in 2017.

Dr. Ranjana Pathak is President - Global

Quality, Medical Affairs and
Pharmacovigilance at Cipla, has been
associated with the organisation for nearly six
years. Ranjana has previously held leadership
roles in pharmaceutical companies such as
Actavis, Endo Pharmaceuticals, Zenith
Goldline and Thames Pharmacol.
 SWOT Analysis
STRENGTHS
1. Strong Research & Development
2. Wide Range Of Products
3. Social & Technological Initiatives
4. Well Recognized by Regulatory
Authorities
5. Company with Low Debt
6. Zero Share Pledged as Collateral
S W
WEAKNESSES
1. Lack Of Presence in Developed
Countries
2. Limited Market Share
3. Stringent Pricing Regulations
4. Poor Transport & Medical Infra.
5. Cash flows are declining TTM.

O T
OPPORTUNITIES THREATS
1. Strategic Expansion 1. Drug Pricing Control Methods
2. Treatment Of HIV 2. Intense Rivalry in Generics
3. Growth in Emerging Markets segment
4. Increasing Demand for Generics 3. Fluctuation in Exchange Rates
5. Cheap & Diverse Clinical Trials 4. Counterfeiting Threat
6. Increasing demand for Health 5. Rising Wages inflation
Products
Peer Comparison
 Way Forward
As per a recent IQVIA1 report, the global medicine spending is expected to reach nearly
USD 1.5 trillion by 20231 , representing 3-6% CAGR over the next five years.

The share of Specialty medicines will continue to increase and is projected to reach 50%
of the total spending by 2023. In its journey up the value chain, the Company has also
started investing towards building a portfolio of specialty products which are targeted
towards serving unmet clinical needs and is a critical component of the growth strategy.

Pharmaceutical trends that company can tap for growth of the business