Next up, a deal by Eli Lilly?

After Abbott, GlaxoSmithKline and Pfizer, the next pharma biggie to make a splash in India could well be Eli Lilly.

The US major is readying a big push in India, either directly or through an acquisition.

“There are indications about the company gearing up for some big action in the Indian pharma sector,” said an investment banker.

Eli Lilly has been in India for some time now and is said to be looking at clinical-trial opportunities.

Talk is of the company eyeing R&D platforms and contract research and manufacturing facilities,” said the CEO of a mid-sized pharma company.

The source, however, said it didn’t have to be a big-ticket acquisition. “There are of course buyout targets but even tie-ups for capacities like what Pfizer did with Aurobindo or GSK with Dr Reddy’s, will be significant for the local sector,” he said.

A fast-growing middle class population and rise in lifestyle ailments such as diabetes coupled with increasing regulatory pressures in developed countries are encouraging multinationals to look at India seriously.

Eli Lilly has already identified India as a leading market among the emerging lot, alongside China and Brazil.

Jacques Tapiero, Eli Lilly’s head of emerging markets business, recently told a leading financial daily that “there is a very clear opportunity in emerging markets.”

It is also somewhat logical for Eli Lilly to come calling. “Two of its major rivals (Pfizer and GSK) already have a significant presence in terms of product sourcing in India. It is just a matter of time before Lilly makes its presence felt here,” the source said.

Eli Lilly currently gets about $2 billion or 10% of its sales from the emerging markets and plans to double the sales in the next five years. It is believed to be working on a multi-pronged strategy including aggressive launches in emerging markets, oulicensing deals and also bringing in products from non-Eli Lilly bouquet.