Ranbaxy Laboratories LimitedTo become a Research based International

Pharmaceutical Company

UBS Global Generic and Specialty Pharmaceuticals Conference

New York

May 8, 2007

Safe HarborExcept for the historical information contained herein, statements in this presentation and the

subsequent discussions, which include words or phrases such as “will”, “aim”, “will likely result”,

“would”, “believe”, “may”, “expect”, “will continue”, “anticipate”, “estimate”, “intend”, “plan”,

“contemplate”, “seek to”, “future”, “objective”, “goal”, “likely”, “project”, “should”, “potential”, “will pursue”

and similar expressions or variations of such expressions may constitute "forward-looking statements".

These forward-looking statements involve a number of risks, uncertainties and other factors that could

cause actual results to differ materially from those suggested by the forward-looking statements.

These risks and uncertainties include, but are not limited to our ability to successfully implement our

strategy, our growth and expansion plans, obtain regulatory approvals, our provisioning policies,

technological changes, investment and business income, cash flow projections, our exposure to

market risks as well as other risks. Ranbaxy does not undertake any obligation to update forward-

looking statements to reflect events or circumstances after the date thereof.

Key Drivers of Growth

• Significant patent expiries

through 2011

• Rationalizing Healthcare costs

- key priority for Governments

• Increasing genericisation

0

5

10

15

20

25

30

35

2006 2007 2008 2009 2010 2011

France Spain Italy

Russia South Africa India

$ Bn

Value of Drugs going off patent 2006 - 11

Source : IMS

• Accelerating branded generics

Key Issues

• Increasing competition

• Increasing focus on costs

Consolidation - Changing Landscape

Source: UBS, Business World, 30th October 2006

The India Pharma Story – Davos 2006

Source – Financial Times

Scientific Manpower Output Number of Higher Education Institutions

05/06 18,123 +59%

00/01 11,412

90/01 5,932

80/01 4,861

Source: Indian University Grants Commission

Number of Students enrolled in

Higher Education Institutions

05/06 10,500 +40%

00/01 7,500

90/01 4,000

80/01 3,000Source: Indian University Grants Commission

Number of Institutions courses

05/06 99/00

Pharmacy 1478 669 +120%

Medicine 229 174 +32%

Physiotherapy 205 52 +294%

Source: Pavan Agarwal (2006) based on data

from professional councils

PhD Degree awarded in Science

03/04 5408 +44%

00/01 3734

90/01 2950

(USA 03/04 25,000)

Source: Indian University Grants Committee

The Education Advantage

Engineers/Science graduates p.a. – India 0.7 mn, China 0.5 mn, EU 0.5 mn, USA 0.4 mn, Japan 0.3 mn

India in Global Generics% Share of USA DMF filings

India China

2004 27% 9%

2005 37% 10%

2006 44% 14%

Q4’06 47% 9%

Source: US FDA / J P Morgan Research

FDA Approved

Plants in India

Highest No

of DMF filings

0

40

80

120

160

2002 2003 2004 2005

ANDA Filings in USA by Indian Companies

24

46

64

144

One in every four ANDAs filed by Indian Companies in top US FDA filers (Source: KPMG)

No Chinese generic company has yet filed a US FDA ANDA but expected

in 2008

India in Global Generics

Ranbaxy Today

• Amongst Top 10 Global Gx companies

• Ground presence in 49 countries, products sold in > 125

• International business ~ 80% of sales

• Manufacturing locations in 11 countries

• > 11,000 employees, 51 nationalities

• Strong Generics & Innovative research capabilities

2001 2003 2006

$ 553

$ 972

$ 1339

CAGR 19 %

Global Sales

Worldwide Presence

Highlights - 2006

Financials

Markets

2006 2005^ %

Sales 1339 1145 +17%

EBIDTA* 16% 7% -

PAT 114 60 +90%

* % sales, ^ excludes sales from discontinued operations .i.e . Allied Businesses divested in 2005

Strong growth in USA

Leadership position in home market

Robust performance in Branded Gx

markets

Exclusivity in Simvastatin 80 mg tablets

Inorganic impetus

$ Mn

Increasing Focus on Costs

* Estimate, ^ Bio-Analytical / Bio - Equivalence

2005 2008*

• Increasing sourcing from low cost countries .i.e. India & China

• Improving R&D cost efficiencies

• Optimizing SG&A cost structures

65% 80%35%20%

2006 2005

In-House 71% 28%

Overseas CRO 8% 61%

Indian CRO 21% 11%

% Bio-Studies (BA/BE^) conducted

2006 2005

Sales growth +17%

SGA growth - Nil

Advanced Markets Low Cost Countries

Geographic Sales Split - 2006

Asia$367, +19%

Americas $440, +18%

Europe$332, +23%*

Africa $85, +24%

* Including CIS, RoW – Rest of the World

Global Sales – 2006 (US$ Mn)

DF 1224 +20%

API 115 - 9%

Total 1339 + 17%

Sales 2006 – Dosage Forms US$ 1224 Mn

Key New Markets – Canada, Spain, Italy, Australia & Japan

33%

25%27%

6%

Geographic Sales Split – Q1 2007

Asia$367, +19%

Americas $440, +18%

Europe$332, +23%*

Africa $85, +24%

* Including CIS, RoW – Rest of the World

Global Sales – Q1 2007 (US$ Mn)

DF 332 +30%

API 23 - 25%

Total 355 + 24%

Sales Q1 2007 – Dosage Forms US$ 332 Mn

29%

31%27%

7%

USA

• Strong growth in USA, +15%

• Simvastatin 80 mg 180 day exclusivity

- Market Share (MS) of 56%

• Increasing No of Prescriptions

- Q1 2005 - 10.8 Mn

- Q1 2006 - 12.5 Mn

- Q1 2007 - 14.1 Mn

• Cumulative chain store listings at 1057 (44 added in Q1 ’07)

• Branded business growth at 20%

2006 2005

OTC Brands Generics

+15%

$ 332

$ 380

Source (Market Share) : IMS

Sales

USA Product Pipeline

• 199 cumulative filings

• 111 approvals

• 88 pending approval

• ~ 20 FTF ANDAs

Cumulative ANDA Filings

Source (Market Size) : IMS

• 2006 - 27 filings

- 10 approvals

• Innovator Market Size

- 88 ANDAs – US$ 56 Bn

- 20 FTF – US$ 26 Bn

USA

Products pending approval

Source: Merrill Lynch Equity Research, February 2007

0

40

80

120

160

200

Teva Ranbaxy Sun Mylan Watson DRL Barr Par

0

40

80

120

160

200

Teva Ranbaxy Sun Mylan Watson DRL Barr Par

# o

f A

ND

As

Second largestpipeline

Potential FTF Challenges

0

9

18

27

36

45

0

9

18

27

36

45

# o

f F

TF

s

Second largestFTF pipeline

Source: Merrill Lynch Equity Research, February 2007

USA

European Union

• Presence in 23 of the 27 EU countries

• Regulatory changes & price impacted

Western European markets

• Strong product flow in ’07 with

multiple Day 1’s

• Major countries

- Germany : AOK business

- France : Supplies from India

- UK : Gabapentin launch

• RoE to maintain growth momentum

0

50

100

150

200

250

300

2006 2005

Sales

$ 267

$ 214

$ Mn

Romania

India

• Fastest growing Company in India on MAT basis (Source :ORG-IMS Mat Mar 2007)

• 65 new products introduced in 2006

• No 1 NDDS Company with 8% MS. Contribution to total sales ~ 9%

• Dedicated task forces for Specialized & Chronic therapies

• Chronic share contribution at 21% (2005 : 20%)

• 21 brands in Top 300 of Industry ( 2005 :19)

First to market 10

NDDS 6

In-licensed 8

Source : ORG – IMS Audit Nov 2006, Moving Quarter Basis

GSKCipla

Ranbaxy

5.0%

4.9%

5.1%

Source : IMS - ORG

Research & Development

New R&D facility for Drug

Discovery Research (DDR)

R&D I

R&D III

R&D II R&D IV

Research & Development• Dedicated Facilities for Innovative & Generics Research

• > 1400 R&D Personnel ( ~ 250 PhD’s)

• 8 - 10 NCE molecules in pipeline

• NDDS based products ( 4 platform technologies)

• R&D collaborations

Alliance / Collaboration in DDR

Out-licensing

in NDDS

Out-licensing

in DDR

Ranbaxy – GSK Collaboration

• Expansion of strategic alliance established in 2003

• Take leads beyond candidate selection to POC* in man

• Therapeutic area focus of AI, Metabolic, Anti-inflammatory

and Oncology

• > US$ 100 mn in milestone payments and double digit

royalties on commercialization of a product

• Co- marketing rights in India

• First candidate identified for Respiratory Inflammation

Proof of Concept

Ranbaxy – NCE Pipeline

RBx 11160 (Malaria)

Agreement for part

funding by DST*

Molecule Status Remarks

Under Phase II B trials

(with Piperaquine)

RBx 10558 (Dyslipidemia)

Out-licensed to PPD Inc.IND approval received

from DCGI* (India) in May ‘06

RBx 9841 (Urinary Incontinence)

Out-licensing opportunity

being explored

Phase I trials

Candidate Selection

GSK Program - COPD / Asthma

RBx 10017876 - Inhalation PDE IV B, COPD/ Asthma

RBx 10020025 - Tiotropium like , MRA inh., COPD / Asthma

RBx 10019821 - Diabetes, DPP IV

RBx 10014255 - Anti infective, Macrolide / Ketolide

5 molecules under lead

optimization including

1 with GSK

* Department of Science & Technology, Drug Controller General of India

Ranbaxy – NCE Progress• Department of Science & Technology (DST) part funding on 3 molecules

• Scientific Advisory Board comprising 6 globally

renowned scientists

• GSK – 1 milestone triggered

• Therapeutic Focus -

- Anti-infectives (Malaria)

- Anti-inflammatory (COPD/ Asthma)

- Metabolic diseases (Diabetes)

- Oncology

• Unprecedented : Precedented targets ratio – 40:60

Generic Research & Development• 27 ANDA filings in USA

• 33 Filings in the European Union

Key Country / Region Filings Approvals Filings Approvals

USA 27 10 15 5

European Union 33 32 100 117

BRICS 95 71 14 12

Rest of World 462 474 42 22

Total 617 587 171 156

Dosage Forms API

Excludes India for API approvals, EU filings and approvals include Mutual Recognition Procedure (MRP) and

De-centralized Procedure (DCP) filings and approvals.

2006 Product Filings & Approvals

Recent Acquisitions & Alliances

Terapia (Romania)

Be-Tabs (South Africa)

Allen (Italy)

Ethimed (Belgium)

Mundogen (Spain)

Zenotech (India)

Krebs (India)

Jupiter Biosciences*(Ind.)

Cardinal Drugs (India)

Auto-injector Tech.(USA)

* Subject to due diligence

Niche Alliances

• Increasing focus on chronic / lifestyle diseases segment

• High entry barriers - technology & resource intensive

Fermentation

based products

Bio-similars &

Oncologics

Peptides

KrebsZenotech Jupiter*

* Subject to due diligence

Enhancing In-house Technologies

Penems

Limuses

Oral High PotencyNon-cytotoxics

Market size worldwide of ~ US$ 1.5 bn

Imipenem + Cilastatin launched in India, China, Africa,

APAC

Key US / EU launches beginning 2009

Global market size in excess of US$ 1.5 bn

Ex - US / EU launches beginning 2008

Well placed for US / EU launches

Worldwide market in excess of US$ 5 bn

Patents expiring from 2008 onwards

Day 1 launches planned for US / EU

Financials

Particulars

Sales

EBITDA% sales

OPBT*

PBT

PAT

* 2005 sales excludes sales from discontinued operations .i.e Allied Businesses. OPBT – Operating profit before tax

Figures in US$ Mn

Q1 2007 %

355 24%

4312%

35%

36 102%

37 94%

29 81%

2006 %

1339 17%

20716%

144%

131 481%

144

226%

114 90%

In Summary• A strong 2006 performance on all parameters

• Buoyant performance across key geographies

• Continuing focus on cost optimization

• Robust product flow

• Growth through organic & inorganic

• Discovery pipeline progressing well

• Global Generic rank – 9th / 10th

Thank You …

Ranbaxy at the UBS Global Generic and Specialty Pharmaceuticals Conference

New York

May 8, 2007