Aurobindo Pharma’s wholly owned arm in the US has received approval from the US Federal Trade Commission (FTC) to proceed with the acquisition of Lannett Company LLC.

The transaction, valued at $250 million on a cash-free, debt-free basis and inclusive of normalised working capital, is expected to close before the end of June 2026.

Lannett, a Pennsylvania-based generic pharmaceutical company, specialises in the development and commercialisation of a diversified portfolio of complex, non-opioid controlled substances.

“This acquisition represents a highly compelling strategic and financial opportunity for Aurobindo USA. It accelerates our revenue growth, strengthens our U.S.-based manufacturing capabilities, and enhances our position in complex, non-opioid controlled substances,” Swami S. Iyer, Chief Executive Officer of Aurobindo Pharma USA, said in a release on Monday.

“We are confident it will deliver immediate earnings accretion while creating long-term value for our shareholders through operational synergies and pipeline expansion,” he added.

Tim Crew, Lannett Company’s Chief Executive Officer, said: “We are delighted to be joining forces with Aurobindo. As one of the nation’s oldest generic pharmaceutical companies, Lannett has a proud history of helping patients access affordable medicines. Aurobindo’s market reach and resources will help make our portfolio of medicines even more affordable and accessible for patients everywhere.”

The acquisition will significantly expand Aurobindo USA’s product offering in this segment while adding a U.S.-based manufacturing facility to its network.

Lannett’s manufacturing site in Seymour, Indiana, has the capacity to scale production to approximately 4 billion doses annually, strengthening Aurobindo USA’s domestic manufacturing footprint.

This enhanced capacity aligns with US policy priorities aimed at improving supply chain resilience and increasing domestic pharmaceutical production. The transaction is expected to be immediately accretive to Aurobindo Group’s earnings per share.

In addition to near-term financial benefits, the acquisition is anticipated to generate meaningful cost efficiencies, SG&A synergies, and operational integration advantages. It will also enhance the company’s portfolio with a differentiated pipeline of complex generics and controlled substances, supporting sustainable long-term growth.

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Published on June 22, 2026