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2011-08-13
Table of contents
Approval inflection point 1 year later: What happened? 2
Trend: A global shift to generics 3
(1) Patent Cliff 3
(2) Diminishing returns on R&D investments 6
(3) Increasing physical footprints in emerging markets 6
China vs. India: A close comparison of two API power houses 8
(1) Cost structure 10
(2) R&D capabilities, DMF, and ANDA pipelines 11
(3) Capacity: USFDA-approved API manufacturing plants 13
Huahai (600521.SS, Buy): ANDA approvals enter into reward stage 17
Hisun (600267.SS, Neutral): Robust growth already priced in 21
Hepalink (002399.SZ, Sell): Growth limited by pricing and capacity 25
Appendix 29



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