Mylan knows you probably don't know its name, but hopes you'll appreciate the prices of its drugs. Through Mylan Pharmaceuticals and other subsidiaries, the company is one of the top global manufacturer of prescription generic drugs. Mylan's medicine cabinet holds generic versions of antibiotics, antidepressants, anti-inflammatories, and respiratory agents in a range of delivery forms. Its specialty division makes branded nebulized and injectable drugs. In addition to finished drugs, Mylan Laboratories Limited is a major producer of active pharmaceutical ingredients for generic drugs. The company's customers in more than 150 countries include wholesalers, distributors, retailers, and government agencies.
The company's generic drug operations account for about 90% of annual revenues. The remainder of sales comes from Mylan's specialty pharmaceutical division, which is led by Mylan Specialty (formerly Dey Pharma), whose best-selling product is the EpiPen Auto-Injector, used to treat severe allergic reactions. The division's name was changed from Dey Pharma to Mylan Specialty in early 2012 as part of an effort by Mylan to align its businesses under the Mylan brand.
As Mylan has expanded its operations, and as generic drugs have grown in popularity, so have the company's revenues grown over in recent years. Mylan reported a 12% increase in sales to some $6.1 billion in 2011. Profits also rose 55% to some $534 million that year.
Mylan Laboratories has more than doubled its size over the last decade through a series of ambitious acquisitions that helped the company expand its geographic footprint and gave it the capacity to produce active pharmaceutical ingredients.
To build its presence in Japan and grow the generics business in that country, Mylan formed a strategic, long-term partnership with Pfizer in 2012 to develop, manufacture, and commercialize a portfolio of more than 350 generic drugs (and more than 125 additional products in development) in Japan. Mylan's focus will be on the development and manufacturing end, and Pfizer will focus on sales and marketing; both companies will share costs.
Mylan also has a partnership with Indian biotech firm Biocon to expand into the growing field of generic biotech drugs. While biologic drugs are trickier to copy and finicky to produce, they do promise splendid profits. The two companies co-develop and market biologic therapies in numerous countries.
In addition to acquisitions and partnerships, a key piece of Mylan's strategy is to be the first to file with the FDA to manufacture generic versions of popular drugs as they become fair game. Being first in line gives a generics manufacturer a three-month window of exclusivity, while its competitors have to wait before they can produce an equivalent product. To that end, the company's research and development pipeline depends on a steady flow of Abbreviated New Drug Applications (ANDAs) being filed with the FDA. – less