Dr. Reddy’s Acquires Stugeron Brand for $50.5 Million, Marking Entry into Anti-Vertigo Segment
$50.5 million deal includes India, Vietnam, and other high-growth markets for the Stugeron brand
11 September 2025
Dr. Reddy’s Laboratories has announced the acquisition of the popular anti-vertigo brand Stugeron from Janssen Pharmaceutica NV, a subsidiary of Johnson & Johnson, in a deal valued at $50.5 million. The move marks the pharmaceutical major’s entry into the anti-vertigo therapeutic segment and is aimed at expanding its Central Nervous System (CNS) portfolio.
The deal includes three key formulations—Stugeron, Stugeron Forte, and Stugeron Plus, which are based on Cinnarizine, an antihistamine widely used in the treatment of motion sickness and vestibular disorders such as vertigo.
As part of the agreement, Dr. Reddy’s will acquire the rights to the Stugeron brand across 18 international markets, with a strong presence in the Asia-Pacific (APAC) and Europe, Middle East, and Africa (EMEA) regions. India and Vietnam are among the key markets where the brand already holds a significant position.
“This acquisition aligns with our strategy of strengthening our branded business in emerging markets and enhancing our CNS portfolio,” the company said in a statement.
Following the announcement, Dr. Reddy’s shares fell by 1.6% on the BSE, touching an intraday low of ₹1,283.20. Analysts attributed the decline to near-term investor caution around deal integration and the broader market environment, though the move is seen as strategically positive for long-term growth.
The acquisition comes shortly after Dr. Reddy’s reported its first-quarter results for FY26. The company posted a 2% year-on-year increase in consolidated net profit, reaching ₹1,418 crore, while revenue rose 11% YoY to ₹8,545 crore. On a sequential basis, however, net profit declined by 11%, with revenue growth remaining flat.
With this acquisition, Dr. Reddy’s aims to deepen its presence in specialized therapies and bolster its product offerings in key growth markets. The company expects the deal to contribute to both revenue and brand visibility in the medium term.