Lupin announced its entry into the Mexican market through its acquisition of Laboratorios Grin, a specialty Ophthalmics firm.

Commenting on the same, Barclays Equity Research said, ''In our view, the acquisition is in line with management's comments during our HC trip (link) stating that its focus is on geographical spread and acquiring brand presence in emerging markets.''

''More significantly, we believe this strengthens Lupin's capabilities in Ophthalmologic therapy, towards which Lupin has begun filing in the US recently (launched gZymaxid in Oct-13; litigation on gBromfenac - potential FTF).

''The Grin acquisition follows Lupin's acquisition of Nanomi B V (complex injectables) and underlines its strengthening focus on specialty segments, which is a key growth/margin driver in our view,'' it said.

''Although the financials are not known yet, we believe that with Grin's revenue of USD 28 million in CY13, the total consideration amount could have been in the range of USD 40-60 million (at a price/sales multiple of 1.5-2x). We reiterate our OW given the potential upside of 16% to our price target of Rs 1,084 (c7% above consensus),'' it opined.

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