ANU’S LABORATORIES

LTD.

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 INTRODUCTION
 ISO 9001:2000 certified company established in 1996 by K. Haribabu,
MD.

 Manufacture of quality drug intermediates

 2,4-Dichloro-5 Fluoro Acetophenone has enabled the brand to establish

itself as the flagship product of the organization.

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 FOUNDER

 Mr. K. Haribabu is a Chartered Accountant and ranked 20th on an All

India merit basis in the year 1980.
Career
 1981-1988, joined SOL as Accounts Officer and resigned as General
Manager (Finance)
 1988-1996, was Vice-President (Finance) in Powmex Steels Ltd. (now
GKW).

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 PRODUCTS

 Basic Intermediates
 Advanced Intermediates.
 Fine Chemicals

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 CORE COMPETENCIES
 Research & Development
 Complying with environmental norms
 Quality Standards
 Existing client relationship
 Synergy of Business Lines
 Experienced management team
 Market Penetration
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 CORE COMPETENCIES – R & D
 Developing technologies for new products
 Establishing processes in the laboratory for
products to be scaled up
 Custom Synthesis
 Contract Research
 Process development for improving quality and
economies

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CORE COMPETENCIES - COMPLYING WITH
ENVIRONMENTAL NORMS
 Developing technologies that reduce and
minimize the generation of waste
 40% of R&D directed for reducing or
eliminating waste
 40% go for recovery of by-products, or
effluent treatment
 Since its inception company has been
working on developing technologies which
lead to reduction in water consumption9
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CORE COMPETENCIES - QUALITY STANDARD
 The Company follows cGMP (Good Manufacturing Practices)

 Quality Assurance
 Quality Improvement Measures
 Quality Systems Warehouse
 Quality Systems – QC & A
 Quality Systems - Maintenance

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 ORGANIZATIONAL STAKEHOLDERS
INSIDE STAKEHOLDERS – THE WORKFORCE

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 ORGANIZATIONAL STAKEHOLDERS
INSIDE STAKEHOLDERS – THE MANAGEMENT

 Professionals with proven track records in the commercial,

chemical engineering and organic chemistry fields.
 Promoters hailing from different fields of expertise
 Mix of requisite skill sets
 Able to handle challenging inorganic growth opportunities

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 ORGANIZATIONAL STAKEHOLDERS
OUTSIDE STAKEHOLDERS - CUSTOMERS
 Constantly tries to address customer needs
 Production and research facilities helps to
 Get repeat business from customers
 Maintain a long term working relationship
 Improve its customer retention strategy

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 ORGANIZATIONAL STAKEHOLDERS
OUTSIDE STAKEHOLDERS - OVERSEAS CUSTOMERS

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 ORGANIZATIONAL STAKEHOLDERS
OUTSIDE STAKEHOLDERS - DOMESTIC CUSTOMERS

Sreepathi
Ballarpur
Aurobindo
Suven
Jubilant
Divi's
Neuland
Hiran
HETERO
RALLIS
Nicholas
Dr.
Matrix
SUN Laboratories
Pharmaceuticals
Life
Hikal
Industries
Orgochem
Organosys
Pharma
Laboratories
Sciences
IndiaLtd
Piramal
Reddy’s LabsLimited
Limited
Ltd
India
Pharmaceuticals
Laboratories Ltd
Ltd
Ltd
Limited. Ltd
Ltd.
Laboratories
Ltd.

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 ORGANIZATIONAL STAKEHOLDERS
OUTSIDE STAKEHOLDERS - DOMESTIC CUSTOMERS

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 ASSOCIATE COMPANIES

 Mr. K. Hari Babu, MD became the co-promoter of Nitya

Laboratories Limited in 2004 by making a strategic
investment in Nitya Laboratories Limited.

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 ORGANIZATIONAL STRUCTURE
 Organic structure to promote innovation
 Flat and allows a lot of decision making power to lower
levels of management.
 Decentralized
 Mutual adjustment allows research people to be creative,
innovative and to take risks.

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 OPERATIONAL HIERARCHY/CHAIN OF COMMAND

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 Organizational Ethics/Code of conduct
 Very high Ethical and Moral Standards over the years
 Model Code of Conduct for Directors and Senior Management
personnel.
 The Board of Directors of the Company adopted this Code of
Conduct and Ethics as a testimony of its commitment to adhere
to the standards of loyalty, honesty, integrity and the avoidance
of conflicts of interest.
 The code of conduct is reviewed by the Board from time to
time
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 GROWTH OF THE ORGANIZATION

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 ACHIEVEMENTS
 State Level Best SSI Entrepreneur Award for the year 2001-02 from the A.P. State
Government.
 Market Penetration Leadership in the Indian Pharmaceutical Intermediates Market by M/s
Frost & Sullivan for the year 2005.
 Consistent and long-term relationship with customers.
 Developed ‘A Cleaner Production Process’ by recovering by-products of commercial value
from waste water.
 Challenged the Chinese monopoly & attained leadership position in many of its products.
 ISO 9001 and Q9001-2000 Certifications.
 Anu's R&D recognized by Dept. of Scientific and Industrial Research (DSIR), Govt. of
India, New Delhi.
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 Major Events
1996-97
 Incorporation
 First Product manufactured -2 4 Dichloro 5 Fluoro Acetophenone (DCFA)

1998-99
 Purchased Land, Building, Plant and Machinery

2001-02
 Introduced another major drug intermediate viz. Chlorohexanone
 Granted subsidy of Rs. 7.90 lakhs from Andhra Pradesh Pollution Control Board as incentive for implementing
projects for recovery of by-products and for showing our commitment towards "Cleaner Production".
2002-03
 Certified ISO 9001-2000 from AQA International

2004-05
 Introduced another drug intermediate Methyl-4(4-Chloro 1-Oxo butyl) and Di Methyl Phenyl Acetate

2006-07
 Best Practices Award for Market penetration leadership from Frost and Sullivan for the year 2005.
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 FUTURE EXPANSION
 The company will be raising 250 cr
 Further Expansion
 Acquisitions
 Graduating to API
 Going in forward in setting up a US FDA-compliant API manufacturing facility
in Vizag with an outlay of 63 cr, is expected to go on stream by October 2009.
 There are five new intermediaries in Pipeline out of which a couple of them are
expected to be commercialized in the next two months.

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 Conclusion
 The company has good growth prospects when compared to peers.
 The established client-relationships provide some assurance on earnings.
 The company does not enter into long-term contracts for the API business, which it
believes restricts ability to bargain for better prices.
 Anu’s Labs has maintained superior operating margins at around 20-22 per cent
for the last 20 months as its tie-up with Nitya Laboratories, a promoter group
company, has paid rich dividends.
 The company focuses on being cost competetive.
 It may also be able to increase presence in Contract Research and Manufacturing
Services (CRAMS) space and maintain a fair pace of growth due to a dominant
position in its portfolio of products.
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 Sources and References
 Business Standard
Annual Report
Red Herring Prospectus
www.anulabs.com

www.expresspharmaonline.com

 www.moneycontrol.com
 K Hari Babu, MD
 N.S.Naidu, GM (HR)
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 THANK YOU

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