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Some companies’ ads see stock photos duplicated

November 30, 2006

The ad from Key Bank portrayed a heart-warming family moment: a dad pointing out something on his laptop to his smiling young daughter as she leans over his shoulder. In fact, the scene may have been a little too charming. The same image appears in a recent marketing brochure — from Bank of America.

Both banks say they bought the image from a photo agency that deals in stock pictures, not realizing the other was making the same selection. “We try not to use the same images as other competitors … if it happened, it happened,” says Joan Peloso, marketing services director for Cleveland-based KeyCorp, the bank-based financial services company.

Coincidences like that are happening frequently thanks to the proliferation of digital photo libraries that let marketers buy generic images at a fraction of the cost of original pictures. Advertisers often don’t buy exclusive rights, which are pricier, opening up the risk that others will use the same photos.

Nonexclusive rights to stock photos can cost as little as a $1, whereas the cost of arranging a photo shoot to produce an original picture can easily run into tens of thousands of dollars, given photographers’ fees ($1,000 to more than $10,000 a day), the cost of hiring a model and securing a location.

Stock images are particularly appealing to companies like banks, insurance companies and pharmaceutical firms that want to sell their products and services with broad, emotional imagery.

To convey an image of concern, both MetLife Inc. and Pfizer Inc.’s Viagra used the same image of a middle-aged man in a stripped button-down shirt resting his chin on his hands. And Bank of America and J.P. Morgan Chase & Co.’s Chase Student Loans sites both used the same image of a collegiate-looking boy working on his laptop for their Web sites.

“Companies are looking for a certain feeling, and they end up choosing the picture that other people like too,” says Thomas Kelly, spokesman for J.P. Morgan Chase.

While photo agencies often have millions of images to choose from, few may fit the specific criteria of marketers, particularly those that want to feature minorities. An image of a smiling Asian woman appears in a pamphlet from Washington Mutual Inc. and on Dell Inc.’s purchase help Web site. And a picture of an African-American couple sitting on a beige couch figuring out their finances appears in a marketing brochure for both Bank of America’s home-equity program and on Citigroup Inc.’s Citibank’s Web site.

Besides being embarrassing for advertisers, such duplications can make it difficult for consumers to tell brands apart.

“If we all look alike, it is hard for a customer to differentiate between their choices,” says Robbyn Tangney, a brand marketing executive with Bank of America Corp.

The companies involved in such mix-ups usually don’t know that their images are being used by other firms. And when they find out, if the campaign is a modest one, sometimes they don’t care.

“The risk of two people seeing the same image and connecting the dots is very, very low because the exposure of the campaign isn’t very, very great,” says Gary Shenk, senior vice president of images for Corbis Corp., a Seattle-based digital media agency that licenses stock photos.

Some photos are so narrow in appeal, or so firmly associated with a specific product, that there’s little chance of them being used by multiple marketers. “If a picture has a very specific product, like a Toyota car or an Apple iPod, it usually isn’t used again,” says David Norris, CEO of OnRequest Images.

Still, marketers understand that if they don’t pay the price for exclusive rights, they can’t guarantee a competitor won’t use the image. “Typically speaking, customers kind of go into this with their eyes open,” says Robert Gubas, vice president of marketing at Getty Images.

Buying exclusive rights to a stock photo isn’t necessarily cheaper than setting up a photo shoot. “To absolutely guarantee beyond any kind of a doubt” that no duplication would occur, marketers can pay in excess of six figures, says Mr. Gubas. Corbis, another major photo agency, says its price on a picture with some sort of exclusive rights costs from $250 to several thousand dollars, whereas pictures without rights range from $50 to $600.

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Marketers may be willing to pay these high prices to ensure one-time only pictures for ads in newspapers, magazines or billboards.

But they’re often willing to use general stock photography for Web marketing. MasterCard Inc., for instance, almost always uses original photography in its “Priceless” campaign which appears on television and print around the world, says Chris Jogis, vice president of U.S. brand development for MasterCard. It likes original images “to best capture the emotion” required for the ad, he says.

But online marketing generally doesn’t have such broad exposure and doesn’t merit the high costs. For its business Web site’s home page, MasterCard used an image of a man in a beige shirt holding his glasses to his mouth that also appears on the Web site for Bank of America’s Business Visa Card. “We don’t feel it is justified from a shareholder standpoint to get the exclusivity,” Mr. Jogis says.

Before the advent of digital technology, when pictures were typically stored as negatives, agencies kept tighter control over how images were used. They mostly licensed pictures with some degree of exclusivity: a marketer could use it in a certain geographic area at a certain time. That began to change when agencies began putting images onto CD-ROMs, making it easier — and more lucrative — for the same image to be distributed widely.

Making matters more complicated, small photo stock Web sites have sprung up, offering images from amateur photographers that can sell for as little as $1 a photo. One of the most prominent ones is iStockphoto, a wholly owned subsidiary of Getty Images.

Industry-standard technology to trace where a photo has been used is still in development.

“It is pretty much a crapshoot to try to determine whether the images have ever been used or will ever be used in the future,” says Jim Pickerell, editor of Selling Stock, a newsletter about stock photography issues, particularly marketing stock images.

Models typically have no say in such matters. They usually sign releases that grant their permission for using their photographs in any media for any purpose that’s not pornographic or defamatory.

Stock images are sold to any entity that wants to buy them. Newspapers sometimes run images from stock companies, and other businesses will use them for presentations. The Wall Street Journal occasionally uses stock photography in its “business of life” sections: Personal Journal, Pursuits and Weekend Journal.

As brands start to embrace new media campaigns and devote larger portions of their budget to the Web, industry executives expect companies to put more emphasis on exclusive pictures.

“People don’t always read an ad, but they can’t help but see the picture. They are getting impressions of the brand all the time,” says Halle Hutchison, head of brand and advertising at Deutsche Telekom AG’s T-Mobile USA. “It is just too dangerous, you never want to go two steps back on that.”

Marketers also are working with companies like OnRequest Images, whose clients include T-Mobile, Microsoft, Cingular and Starbucks, to create custom photo libraries that supply brand-specific images without the risk of duplication by a competitor.

Bank of America started building an image library this June and expects to gather about 4,000 images by the end of the year. KeyCorp also is in the process of developing its own photo collection.

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Inboxes groan under weight of billions of bogus e-mails

November 28, 2006

EVERY day, 1.5 million e-mails are sent to staff and students at Edinburgh University from the outside world - but only 125,000 of those prove to be genuine.

The rest is spam, the glut of electronic junk mail offering a range of dubious products from cheap Viagra to stock market tips or sexual services which now inundates companies and individuals on a daily basis.

Research released yesterday suggests that of the 30 million e-mails sent to UK addresses every day, 24 million are junk.

Edinburgh University, which has about 20,000 computers, is a prime target as it possesses high-speed internet connections and its own servers.

Brian Gilmore, the university’s head of computer services, said: “You are fighting a running battle with these people [spammers]. At the same time we have to balance security with the needs of students and staff to communicate.”

Internet security company SurfControl said yesterday it had detected a 50 per cent rise in the number of spam mails sent in Britain since July. It says gangs are increasingly expert in hijacking computers to send innocent people e-mails - potentially harnessing huge numbers of machines - and that spammers are finding new ways to outwit software filters.

The latest trend is to scramble a message - for example offering prescription drugs online - with a picture, making detection difficult.

Harnish Patel, from SurfControl, said: “It is possible for a spamming gang to send tens of millions of messages a day. I don’t see any limit to this problem, it is something we are just trying to keep pace with.”

Other Scots companies report a similar experience. The Scottish Parliament receives one million e-mail messages a month, of which 70 per cent are spam. Scottish Media Group is sent 1.7 million a month, of which one million are bogus. Mark Sichi, SMG’s IT systems manager, said: “There has been an increase in the cleverer type of spam e-mail.”

Britain is not unique in experiencing a spam explosion. The US Technology firm Postini said it had detected seven billion spam e-mails worldwide in November, compared to 2.5 billion in June.

Computer users can open their machines to hijackers when they unwittingly infect their computers with “trojan- horse” programs - so called because they often hide behind an innocent application, such as a piece of software or music downloaded from the web.

Most big organisations use sophisticated e-mail filters which in practice root out the majority of spam messages. However, the spammers use an ever-evolving range of devices to fool the electronic gatekeepers. These include misspelling words, embedding text in images or using swathes of words taken from classic books to create confusion in corporate e-mail filters.

Matt Loney, editor of technology news website Zdnet, said that while nearly all big companies had spam e-mail filters in place, users could also help by exercising common sense.

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“If you see a message from someone you don’t know or a bank you’re not a customer of, don’t click on any attachments in the message, and delete it.”
Growing menace from east of Europe

ABOUT 80 per cent of the world’s spam e-mail is generated by some 200 gangs.

According to Spamhaus, an organisation based in London, spam sent from eastern Europe is an increasing problem.

The group’s top ten of the world’s worst spammers lists four Russians, two Ukrainians, two Americans, a Hong Kong company and one in Israel. The most sophisticated gangs can send 100 million messages a day.

Increasingly, spammers hack into other machines and covertly install “malware” - software programs that take over the PC - to send messages for them.

The malicious software programmes are able to log keyboard motions to harvest passwords and other details which they then relay back to the criminal gangs.

Richard Cox, of Spamhaus, said: “I suspect the UK law authorities really don’t appreciate the extent of the problem.”

Spammers can use different means to glean e-mail addresses, including scouring internet forums and message boards.

The worst thing recipients can do is reply and ask to be taken off the list - that simply signals to the spammer that the address is a genuine one.
ONLINE BOMBARDMENT

SPAMMERS use junk e-mail because it is one of the cheapest forms of mass marketing available - just five or six computers connected in a home can send millions of messages at minimal cost. If just two or three people out of 10,000 buy what claims to be Viagra, for example, the spammers have made a profit. They are indifferent as to whether huge numbers of their e-mails are deleted.

While some messages offer products, however dubious, others are simply online frauds. The Nigerian 419 gangs, who promise huge sums in return for temporary use of bank accounts, were early converts to e-mail.

Another con involves so-called “phishing” e-mails. They appear to come from a bank or money transfer company such as PayPal, but are bogus and intended to steal personal and financial details. The latest variant is “spear phishing” in which fraudsters watch companies for new arrivals, then write to them, purporting to be from the IT department, to request personal details

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Warrant: McKown gave girlfriend money to buy cocaine, used drug himself

November 22, 2006

Suspended York County Coroner Doug McKown gave his girlfriend money to buy cocaine, used the drug himself and took her to a York convenience store to make a drug deal, according to a search warrant obtained by The Herald this afternoon.

Issued in May, the warrant offers more details to what police have said all along: About two years of investigation culminated in the couple’s involvement in a May 4 drug sale that was recorded on video. The warrant relies heavily on information from four confidential police informants. The informants were listed in the warrant as Source #1, Source #2, Source # 3 and Source #4.

Source #1 claimed to have taken a known ecstasy dealer to McKown’s Clover home nearly two years earlier to meet with then-girlfriend Erin Jenkins to distribute 20 ecstasy pills, according to the warrant.

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Source #2 claimed to have sold cocaine to Jenkins at a York bar within the last six months and also claimed to have seen McKown give Jenkins money for the drug at least once, the warrant states.

Source #3 said that in January McKown and Jenkins were at a York bar and Source #3 went with Jenkins to purchase an eighth of an ounce of cocaine and then returned to a bar where McKown was waiting, according to the warrant. Source #4 also claimed to have seen McKown give Jenkins money to purchase cocaine at the York bar in January, the warrant states.

On April 17, source #4 claimed to have shared cocaine with Jenkins and McKown in York, the warrant said. Later that night, McKown invited source#4 and source#3 back to his house, saying he had more cocaine there, the warrant said.

The warrant was released after a York judge reversed a magistrate’s ruling last week. The magistrate had declined to release the document because he said publication of its details could interfere with McKown’s right to a fair trial.

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McKown warrant released

November 21, 2006

Police informants claim suspended York County Coroner Doug McKown gave his girlfriend money to buy cocaine and Ecstasy, used the drugs himself and stored cocaine at his Clover home, according to a search warrant obtained by The Herald on Monday afternoon.

The document offers more details to what police have claimed all along: The couple was involved in a May 4 drug sale that was recorded on video.

The warrant relies heavily on information from four confidential police informants. The informants are listed as Source No. 1, Source No. 2, Source No. 3 and Source No. 4.

“What’s contained in that affidavit is what informants have told the police,” said McKown’s attorney, Jack Swerling. “Informants, by their very nature, are people who are giving information, not because they’re good Samaritans, but because they are, many of them, involved in activity themselves. And they’re getting something in return. … It’s informant testimony, and it should be tested in court before it’s released to the public.”

Source No. 1 claimed to have taken a known Ecstasy dealer to McKown’s Clover home nearly two years earlier to meet with McKown’s girlfriend at the time, Erin Jenkins, to distribute 20 Ecstasy pills, according to the warrant.

Source No. 2 claimed to have sold cocaine to Jenkins at a York bar. This source also claimed to have seen Mc-Kown give Jenkins money for the drug at least once, the warrant states.

Source No. 3 said McKown and Jenkins were together at a York bar in January. Source No. 3 went with Jenkins to purchase about an eighth of an ounce of cocaine and then they returned to McKown.

Source No. 4 also claimed to have seen McKown give Jenkins money to purchase cocaine at the same bar in January, the warrant states.

On April 17, source No. 4 claimed to have shared cocaine with Jenkins and McKown in York, the warrant stated. Later that night, McKown invited Source No. 4 and Source No. 3 back to his house, saying he had more cocaine there, the warrant said.

Within 72 hours of the warrant being prepared, the document says that Source No. 4 made a recorded phone call to Jenkins and ordered an eighth of an ounce of cocaine for $150.

Jenkins agreed to deliver the cocaine the next day, according to the warrant. That day, narcotics officers were watching McKown’s house, where Jenkins also lived at the time. Shortly before the agreed upon meeting time, the couple left on a motorcycle and police followed, the warrant stated.

The couple drove to a York bar on U.S. 321, the warrant states. Then McKown and Jenkins went into the bar looking for Source No. 4, according to the warrant.

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Jenkins then contacted Source No. 4 and they agreed to meet down the street at a convenience store, the warrant states. Police followed the couple to the store and watched while Jenkins sold three grams of cocaine to Source No. 4 for $150, “leaving no doubt” that the cocaine came from McKown’s home, the warrant says.

Police made video and audio recordings of the transaction, the warrant says. Source No. 4 claimed to have purchased cocaine from Jenkins and sold the cocaine to her on several occasions, the warrant says.

While searching McKown’s home, police found two Ecstasy pills, one gram of marijuana, half a pill of Viagra, .01 gram of cocaine and one Cytotec pill, according to a police report.

McKown and Jenkins were arrested May 17 after they turned themselves in at the York County Sheriff’s Office. McKown was arrested on three drug-related charges, including cocaine possession and conspiracy to distribute cocaine. Jenkins was charged with five drug-related offenses.

Gov. Mark Sanford suspended McKown from office in July after a grand jury indicted him on the three drug charges.

Jenkins’ attorney, Jim Morton, declined to comment Monday. Morton told The Herald in September that Jenkins would enter the intensive drug rehabilitation program administered by the 16th Circuit Solicitor’s Office.

Participation in the program is based on Jenkins pleading guilty to several drug-related charges, and if she successfully completes the program, then the charges against her will be dismissed, according to Morton.

At that time, Morton said he expected Jenkins to plead guilty in October. However, no court date has been set for Jenkins or McKown, according to Mark Plowden, a spokesman for the state attorney general’s office, which is prosecuting the case.

The search warrant was released after a York judge reversed a magistrate’s ruling last week and ordered the warrant released to the media. Magistrate Dick Watkins had declined to release the document because he said publication of the details could interfere with McKown’s right to a fair trial

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The truffe is out there

November 20, 2006

A few years ago, the chef Giorgio Locatelli took me into a dark store room, and shoved a large white truffle - it was the size of an elephant’s testicle - in my face. ‘See?’ he said, nostrils inflating like two fleshy sails. ‘Eet smell like ze intestine of ze pig on heat, no?’ At the time, I had no idea what the intestine of a pig on heat might smell like; I still don’t. But I knew what he meant. There, among his eggs and his risotto rice, I could smell both sex (raw animal sex, of the kind a person might enjoy in the last few moments before the end of the world) and death (those gag-inducing top notes of rotting vegetation and liverish skin). It was the kind of smell that made you want to be sick. It was the kind of smell, to be frank, that made you want to turn on your heels and run.

Article continues
Cut to a check-in line at Turin airport, in which I am standing, patiently, trying to keep my head down. To meet anyone’s eye would, I think, be a big mistake. Because in my bag, wrapped in paper and stored in a glass jar, are three truffles: two white, and one black. I am transporting these fungi, which I bought at the 76th annual Truffle Fair in Alba, back to London, where I intend to give them to a friend who is celebrating a birthday. This morning, when I removed the jar from the hotel mini-bar where I’d stored it overnight, I was careful to give its lid an extra firm twist. I sniffed and I sniffed, and no stench - not even the farty beginnings of a stench - was to be detected. Now, though, I am not so sure. There is definitely something whiffy in the environs of this check-in queue - and I have every reason to believe that its source is probably my suitcase.

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Oh, the perils of foodie travel! In her new book, Truffles, the cookery writer Elisabeth Luard reveals that Franco Taruschio, former owner of The Walnut Tree Inn, once transported ‘a modest kilo’ of Piedmont truffles from Italy to London in his hand baggage. Which was fine, save for the fact that his fellow passengers took great exception to the stink. In the end, he and his wife were asked to remove both themselves and their luggage from the airport departure lounge, and wait outside until called. I am, then, mightily relieved when the woman at the desk finally puts my bag on the conveyor belt and it disappears through those cheery plastic flaps, though it could still attract the attention of the sniffer dogs. Even so, the smell of the truffles is in my nostrils now, and remains so throughout my flight. And when I get home - oh, God - the trip has sent the truffles demented. I hold the jar in front my husband’s face, and his head snaps back violently, as though he has been slapped.

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The year that was

November 14, 2006

Dr Reddy’s buys German major betapharm

Dr Reddy’s Laboratories has acquired the fourth-largest German generic drug maker betapharm for 480 million Euros (approximately Rs 2,550 crore). It has signed a definitive agreement with 3i, the private equity house that controls betapharm to acquire 100 percent equity of the German drug major. Dr Reddy’s said that the transaction is subject to customary closing conditions, is expected to close in the first week of March 2006.

Dr Reddy’s forms Perlecan Pharma

Dr Reddy’s Laboratories announced the formation of India’s first integrated drug development company, Perlecan Pharma with equity capital commitment of $52.5 million from Dr Reddy’s and from venture capital investors, Citigroup Ventures and ICICI Ventures. Perlecan Pharma’s early priorities will be to advance the clinical development of NCE assets received from Dr Reddy’s through Phase II and thereafter seek out-licensing, co-development or joint commercialisation opportunities.

Zydus and Bharat Serums set up JVC

Zydus Cadila and Bharat Serums and Vaccines have signed an agreement to set up a 50:50 joint venture company. The joint venture company will develop, manufacture and market a non-infringing and proprietary Novel Drug Delivery System of an approved anti-cancer product, for the global market. The Drug Controller General of India has approved the product for commercialisation in India.

Glenmark makes its mark in the US

Glenmark Pharmaceuticals, USA, the wholly owned subsidiary of Glenmark Pharmaceuticals, India (GPI), signed a supply and marketing agreement with Lehigh Valley Technologies for the manufacturing and marketing of two liquid generic pharmaceutical products for the US market. In accordance to the agreement, LVT will manufacture and supply the products to GPI, which will market them under the Glenmark label. Glenmark expects to launch these products over a three-month period starting August 2006.

Metal traces in ayurvedic medicines

Much to the dismay of the practitioners of the traditional Ayurvedic system of medicine, safety concerns have been raised on Ayurvedic drugs. A report published in JAMA claimed that the heavy metal content in Ayurvedic drugs exceeds safety levels and henceforth might prove detrimental to a patient’s health. The exports of this class of medicine have been affected following this development. Ayurvedic products will now have to sport labels on the presence of heavy metals like lead, arsenic, cadmium, chromium, and mercury and information on the therapeutic application of these products. The mandatory labelling norm for ayurvedic exports had been prompted by the adverse reports on ayurvedic products from markets such as Canada, the US, parts of Europe, and Singapore. These markets had raised concerns over the toxicity that can be caused by the presence of heavy metals.

However, a number of practitioners of Ayurveda contradict the report. They maintain that Western systems and methods of assesment cannot be employed to estimate Ayurevedic products. In addition, they say that the form in which heavy metals exist in these drugs do not cause toxicity. Nevertheless, this controversy has increased examination and quality checks in Ayurvedic drugs.

Name of medicine in Hindi

The Drugs Controller General of India has forwarded a proposal to the Ministry of Health and Family Welfare Government of India, to print information such as brand name, manufacturing date, expiry date, MRP, in Hindi, in addition to English on medicine labels. They have deliberated on this issue and informed the Ministry that it would be possible for them in the interest of the patients, to print the name of the product in Hindi. They have, nonetheless, made it very clear that printing of MRP, manufacturing and expiry date, in Hindi would not be possible due to paucity of space.

Ranbaxy in pact with Gilead

Ranbaxy Laboratories entered into a licensing agreement with Gilead Sciences covering manufacturing and marketing of API and formulations containing Tenofovir Disoproxil Fumarate (TDF). While the API will be made available to other Gilead licensees in India, TDF formulations can be marketed in 95 developing countries including India. Both API and formulations will be manufactured at Ranbaxy’s manufacturing facilities in India. The license allows for technology transfer from Gilead to Ranbaxy.

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Ranbaxy launches Volix

Ranbaxy announced the launch of its branded product Volix (Voglibose), for the treatment of diabetes. The product, a novel Alpha-Glucosidase inhibitor introduced for the first time in India, will be available in dosages of 0.2 mg and 0.3 mg tablets. Voglibose is indicated for improvement of post-prandial hyperglycemia in diabetes mellitus. The evasion of high post-prandial (aftermeals) blood glucose level is one of the main advantages of the drug.

Ranbaxy acquires Terapia

Ranbaxy and Terapia of Romania signed a definitive agreement providing for the acquisition of Terapia by Ranbaxy. Ranbaxy acquires 96.7 percent of Terapia from Advent International for $324 million. The transaction is funded from the proceeds of Ranbaxy’s recent FCCB issue and its completion is expected by the second quarter of 2006.

People movement

Ranbaxy’s Board of Directors promoted Dr Brian Tempest to Chief Mentor and Executive Vice-Chairman of the Board. Simultaneously, Malvinder Mohan Singh, President Pharmaceuticals and Executive Director, succeeded Brian Tempest as CEO and Managing Director of the company.

Dr Swati Piramal, was conferred the Chevalier de l’Ordre National du Mérite (Knight of the Order of Merit) by the French Government for her contribution towards the development of Indo-French relations in medicine and trade, Hasit Joshipura, previously President and Executive Director of the pharma business at Johnson & Johnson, Mumbai, joined GSK as Vice-President and GM designate.

Viagra now available in India

Pfizer announced the launch of Viagra (sildenafil citrate), their breakthrough treatment for erectile dysfunction (ED), in the Indian market. With one tablet being sold every six seconds worldwide, Viagra is a blockbuster and a globally recognised drug that has treated more than 27 million men with erectile dysfunction.

NPIL to buy stake in Boots Piramal

NPIL announced its acquisition of the balance equity stake in Boots Piramal Healthcare, a 49:51 JV between NPIL and Alliance Boots. NPIL has acquired the balance 51 percent equity stake, which was held earlier by The Boots Company, a subsidiary of Alliance Boots. Also, as a part of this arrangement, Nicholas Piramal has received a one-time sum of Rs 178 million.

Mylan buys stake in Matrix

Mylan has acquired up to 71.5 percent of Matrix shares outstanding for Rs 306 per share. Under the terms of the transaction, Mylan will purchase 51.5 percent of Matrix’s shares outstanding pursuant to an agreement with certain selling shareholders. Additionally, it will make an open offer to Matrix’s remaining shareholders to acquire up to an additional 20 percent of Matrix’s shares outstanding.

Wockhardt launches Hepatitis vaccine

Wockhardt has launched a new generation Hepatitis A vaccine under the brand name of Biovac A, in collaboration with Zhejiang Vaccine. The international vaccine Zhepu, was first developed by Dr Mao, the main inventor of the vaccine in the year 1987 and introduced in China in 1992. Till date over 120 million people have been administered the vaccine successfully in China.

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