Dr. Reddy’s Laboratories announced the definitive acquisition of the trademarks Progynova® and Cyclo-Progynova®, along with related assets for India, from the UK-based Mercury Pharma Group Limited (MPGL). This strategic purchase, valued at USD 32.15 million, marks Dr. Reddy’s entry into the Hormone Replacement Therapy (HRT) segment. The deal is expected to significantly strengthen the company’s existing Gynecology Portfolio in the Indian market, effective February 18, 2026.
Strategic Expansion into HRT Segment
Dr. Reddy’s Laboratories Ltd. confirmed on February 18, 2026, that it has entered into an agreement to acquire critical intellectual property from Mercury Pharma Group Limited (MPGL), a specialty pharmaceutical firm headquartered in the UK. The acquired assets specifically include the trademarks for Progynova® (estradiol valerate) and Cyclo-Progynova® (estradiol valerate and norgestrel), along with associated assets, solely for the Indian territory.
Transaction Details and Consideration
The total consideration paid by Dr. Reddy’s for this acquisition amounts to USD 32.15 million. The transaction covers intellectual property rights used for products indicated for treating estrogen deficiency symptoms and preventing postmenopausal osteoporosis. Significantly, the announcement confirms that MPGL is not a related party to Dr. Reddy’s or its promoters, ensuring the deal was conducted at an “arm’s length” basis.
Rationale and Market Impact
The primary rationale for this acquisition is the immediate strengthening of Dr. Reddy’s existing Gynecology Portfolio by entering the specialized Hormone Replacement Therapy (HRT) segment in India. Progynova® is highlighted as the #1 Brand in the Estradiol represented pharmaceutical market in India, demonstrating strong physician equity and recall, with recorded sales of INR 100 cr. as per IQVIA MAT December 2025 data. M.V. Ramana, CEO of Branded Markets (India and Emerging Markets), stated that this acquisition will serve as the “spearhead” for their HRT expansion.
Source: BSE
