September 21, 2006: Ipca Laboratories Ltd. enters into strategic alliance with Ranbaxy Pharmaceuticals Inc., for the U.S Market

Ipca Laboratories Ltd. (Ipca) has entered into a strategic alliance withRanbaxy Pharmaceuticals Inc. (Ranbaxy) based in Jacksonville, Florida (USA), a wholly owned subsidiary of Ranbaxy Laboratories Ltd., India's largest pharmaceutical company. Ranbaxy is engaged in the sale and distribution of generic and branded prescription products in the U.S. healthcare system.

Under this alliance, Ipca will develop a number of generic prescription pharmaceutical products which will be marketed by Ranbaxy in the U.S. Ranbaxy will file for regulatory approval and initially support manufacturing of these products. The first product to be launched under this alliance will be Furosemide Tablets 20 mg, 40 mg, and 80 mg which received US FDA approval on September 18, 2006. In the future, Ipca will manufacture such products utilizing its facilities in India. Most of these products will be supported using Ipca's DMF approved Active Pharmaceutical Ingredients (APIs).

Ranbaxy will commercialise these products in the U.S market utilizing its established marketing expertise and distribution network.

Ipca is a Mumbai based fast growing fully integrated pharmaceutical company engaged in the manufacturing and marketing of a range of pharmaceuticals world over with a strong thrust on exports. Ipca's exports to over 100 countries across the globe contributed about 53% of the Company's total income of Rs.753 crores in the financial year 2005-06. Ipca is setting up a new formulations manufacturing facility meeting U.S regulatory requirements at SEZ Indore with an initial capital outlay of approximately Rs.60 crores.

Premchand Godha
Managing Director

Mumbai
September 21, 2006