Sun Pharma Rules Out Big-Bang Acquisitions, Bets on Organic Growth and Biosimilars

"For emerging markets, we are looking at what you call tuck-ins or smaller acquisitions, which we can look at integrating with our existing business to get scale in the emerging markets," he added.

The drug major has consistently indicated that it wants to remain disciplined about acquisition, Shanghvi said.

"Our focus is on finding a way to grow our business organically at a rate so that we continue to be an attractive investment opportunity for the shareholders. We would look at acquisition only if we think that it can help us in terms of strengthening our long-term strategy capability," he added.

"We need to be confident that whatever acquisition we make, we should be able to manage effectively without diluting our focus on our growth. At the same time, I think we have also indicated that for acquisition, if it is necessary, we are comfortable in raising debt," Shanghvi noted.

On a query regarding the company's plans regarding biosimilars, he noted: "We are evaluating, re-looking at, because we look at comprehensively, including setting up manufacturing, investment, overall cost of development and the time for the investment to produce any kind of meaningful return. So, we are evaluating everything to take a decision.

The government has made a decisive investment in the country's health and innovation future by proposing an outlay of Rs 10,000 crore in the budget to develop the biopharma sector over the next five years.