Building a Leading Generics CompanyThey appear in a number of places throughout this Presentation and include statements regarding the Company’s intentions, beliefs or current expectations

Building a Leading Generics Company

1For updates and specific queries, please visit our website www. aurobindo.com13th January 2015

Disclaimer

THIS PRESENTATION (PRESENTATION) IS NOT AN OFFER TO SELL ANY SECURITIES OR A SOLICITATION TO BUY ANY SECURITIES OF AUROBINDO PHARMA LIMITED OR ITSSUBSIDIARIES (TOGETHER, THE “COMPANY”).

The material that follows is a Presentation of general background information about the Company’s activities as at the date of the Presentation. It is information given in summary form and doesnot purport to be complete and it cannot be guaranteed that such information is true and accurate. This Presentation does not constitute a prospectus, offering circular or offering memorandum oran offer, or a solicitation of any offer, to purchase or sell, any shares and should not be considered as a recommendation that any investor should subscribe for or purchase any of the Company’sequity shares.

This Presentation includes statements that are, or may be deemed to be, “forward-looking statements”. These forward-looking statements can be identified by the use of forward-lookingterminology, including the terms “believes”, “estimates”, “anticipates”, “projects”, “expects”, “intends”, “may”, “will”, “seeks” or “should” or, in each case, their negative or other variations orcomparable terminology, or by discussions of strategy, plans, aims, objectives, goals, future events or intentions. These forward-looking statements include all matters that are not historical facts.They appear in a number of places throughout this Presentation and include statements regarding the Company’s intentions, beliefs or current expectations concerning, amongst other things, itsresults or operations, financial condition, liquidity, prospects, growth, strategies and the industry in which the Company operates.

By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-lookingstatements are not guarantees of future performance including those relating to general business plans and strategy of the Company, its future outlook and growth prospects, and futuredevelopments in its businesses and its competitive and regulatory environment. No representation, warranty or undertaking, express or implied, is made or assurance given that such statements,

2For updates and specific queries, please visit our website www. aurobindo.com

developments in its businesses and its competitive and regulatory environment. No representation, warranty or undertaking, express or implied, is made or assurance given that such statements,views, projections or forecasts, if any, are correct or that the objectives of the Company will be achieved. The Company’s actual results of operations, financial condition and liquidity, and thedevelopment of the business sector in which the Company operates, may differ materially from those suggested by the forward-looking statements contained in this Presentation. In addition,even if the Company’s results of operations, financial condition and liquidity, and the development of the industry in which the Company operates, are consistent with the forward-lookingstatements contained in this Presentation, those results or developments may not be indicative of results or developments in subsequent periods.

The Company, as such, makes no representation or warranty, express or implied, as to, and does not accept any responsibility or liability with respect to, the fairness, accuracy, completeness orcorrectness of any information or opinions contained herein. The information contained in this Presentation, unless otherwise specified is only current as of the date of this Presentation. TheCompany assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis of any subsequent development, information or events, or otherwise. Unlessotherwise stated in this Presentation, the information contained herein is based on management information and estimates. The information contained herein is subject to change without noticeand past performance is not indicative of future results.

This document is just a Presentation and is not intended to be a “prospectus” or “offer document” (as defined or referred to, as the case may be, under the Companies Act, 2013). It is clarifiedthat this Presentation is not intended to be a document offering for subscription or sale of any securities or inviting offers from the Indian public (including any section thereof) or from personsresiding in any other jurisdiction including the United States for the subscription to or sale of any securities including the Company’s equity shares. No part of it should form the basis of or berelied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. None of the Company’s securities may be offered or sold in theUnited States without registration under the U.S. Securities Act of 1933, as amended, except pursuant to an exemption from registration there from.

This document has not been and will not be reviewed or approved by a regulatory authority in India or by any stock exchange in India. This document and its contents should not be forwarded ordelivered or transmitted in any manner to any person other than its intended recipient, and should not be reproduced in any manner whatsoever.

Generics Lead the Way…

Leading Therapeutics

Therapy ClassGlobal Sales

2013

1 Oncolytics $ 67.1 Bn

2 Pain / Acute $ 57.3 Bn

3 Anti-Diabetics $ 54.4 Bn

4 CNS $ 49.6 Bn

5 Anti-bacterials $ 40.2 Bn

6 Mental Health $ 39.5 Bn

Global generic pharmaceutical market worth over $150 billion in 2013, expected to growat a 8.4% CAGR over 2013-18

��

Industry Overview

Top ten global generic companies account for 47% market share�

US representing c.40% share is the world’s largest generics market

EU and Japan represent c.24% and 6% respectively

Top eight global markets comprise 80% of total generic sales��


6 Mental Health $ 39.5 Bn

7 Respiratory $ 38.1 Bn

8 Anti-viral $ 31.1 Bn

9 Lipid Regulator $ 28.9 Bn

10 Dermatologics $ 26.8 Bn

Manufacturing scale build-out with among the highest level of vertical integrationStrength across various formulations including oral and injectable

Amongst the deepest portfolio of ANDAs in global GxNo overdependence on PIV First-to-File / 1-off opportunities

Top ten global generic companies account for 47% market share��

Over the next five years, Emerging markets are expected to demonstrate strong growth at15-20% y-o-y while matured markets are expected to grow at 6-10% y-o-y

��

(Source IMS Health , CRISIL Research Report dated 15-Jul-2014)

Company Overview

FY14 Operating Income: $1.36Bn(79% International Operations; 65% FDF)

H1FY15 Operating Income: $0.98Bn (86% International Operations; 77% FDF)

• Among the top-5 pharmaceutical companies from India(Based on FY14 Stand Alone Net Sales)

• One of the leading vertically integrated pharma companies fromIndia in terms of ex-India sales

• A global company with more than 85% of operating incomecoming from international operations

• Leading the Gx footprint in Europe, having a strong presence

1.0 1.1

1.4 1.0

Net Operating Income ($ Bn)

FDF: Finished Dose Formulations


A well integrated, Export Driven Gx-Pharma Multinational Company with large scale of operations and wide product offerings

Leading the Gx footprint in Europe, having a strong presenceamong India based Gx-companies

• Evolving focus on complex molecules, differentiated technologyplatforms and specialty products

• Wide diverse product basket with 2,100+ formulation filings &c.2,500 API filings worldwide

2012 2013 2014 H1FY15

H1FY15 Gross Sales by Segment (%)

Average dollar conversion rates of respective years considered

Key Business Segments

• Presence in over 125 countries

Global Generics

Active Pharmaceutical Ingredients

• Specialty / Parenterals / Differentiated product offerings

• Recent foray into peptides

New Business Initiatives


• Primary focus on the US and EU which account for majority of the revenues

• Presence in other regulated markets of South Africa, Brazil. Canada and Mexico with over 125 products filed in these markets and over 100 approved products

• Complete portfolio of products in SSPs, Cephalosporin, ARV, Anti-infectives and other non-betalactams, sterile and non sterile antibiotics

• API integration for c.90% of its products– a key differentiator in the fiercely competitive global generic markets

• Presence in biocatalysts for use in the Pharmaceutical and Chemical Industries

• Foray into consumer health, OTC and branded space

Formulation Business Drivers

Earlier PipelineFirst 150 ANDA filings

Current Pipeline380 ANDA filings

as at 6th Jan 2015

Future Pipeline

Portfolio mix is changing towards niche and high-value products

Will also include Oncolytics, Peptides,

Steroids, Branded Gx and


• Wide diverse product and technology offerings• In-house R&D, Regulatory, QA & QC• Backward integration/ improved product mix/ cross-selling• Advance market focus. Uncompromised quality• Strong leadership and market intelligence• Speed to market and operational efficiencies

Steroids, Branded Gx and Dry Powder Inhalers

US Generics

Cumulative ANDAFilings and Approvals

562

381

Revenues($ Mn) Aurobindo

USA

Aurobindo

Oral Rx

AuroMedics

Injectables

Natrol

Nutraceuticals

AuroLife

Manufacturing / R&D

AuroHealth

Pharma OTC


Filings and Approvals

246 323

381

2012 2013 2014 H1 2015

USA : Broad Portfolio in Oral Rx

• Focus on customer services, key accounts, expanded volume and market share on new and existing products

• Broad product portfolio with backward integration across the basket

• Ranked #9 Gx-supplier as per IMS total prescriptions dispensed for the 12-months ending Sep ’14

• Strong presence in Cephalosporin Orals following market re-entry


Manufacturing Base Product Class Filing Details (as on 6th Jan 2015)

Aurolife, USA Controlled Substance, NPNC 26 ANDAs filed, 9 Approved (incl 1 TA)

III, VII (SEZ), India Non-betalactums, OC 257 ANDAs filed, 148 Approved (incl 25 TA)

VI, XII, India Betalactums 21 ANDAs filed, 20 Approved

Revenues 1HFY15 $ 349Mn1HFY14 $ 211Mn

FY14 $ 525MnFY13 $ 313Mn

following market re-entry

• Investment in US inventory support growth opportunities and achieve aggressive market share targets

• Increase penetration in controlled substances and US Government contracting(Source: Company, IMS Health Oct-2014)

USA : Injectables

Key ParenteralsSegments

SSP Ophthalmic Respiratory General Oncology Steroids Penem Peptide

Pipeline of Product Classes - 7 2 36 17 6 2 6

ANDAs filed 10 10 5 51 - - 2 -

ANDAs approved 10 - - 8 - - - -

ANDAs under review - 10 5 43 - - 2 -

Addressable market $ Bn 0.6 3.8 8.4 4.1 0.6

Revenues Manufacturing Base Product Class Filing Details (as on 6th Jan 2015)

(Source: Company, IMS Health Oct-2014)


• Dedicated facilities for SSPs, Penems and general non-betalactam liquid injectable products• Foray into special areas as Penem, Peptides, Oncology and Hormones• Working on differentiated technology platforms as Microspheres• Strong Pipeline of products in non-betalactam, ophthalmic, respiratory, onco, steroids, peptides

and penem• Protection through entry barriers

• Capital intrinsic• Technology driven


FY14 $ 37MnFY13 $ 10Mn

AuroNext Penem 2 ANDAs filed

IV General NPNC, Respiratory, Ophthalmic 66 ANDAs filed, 8 Approved

XII SSP 10 ANDAs filed, all Approved

USA Pharmaceutical OTC

• Highly fragmented market with the top four players holding 32% of the total market (Source: MarketLine Sep-2014)

• Oral Solid facility in India and Oral Liquid facility in USA to support R&D, Manufacturing and Logistics

• Focus to strengthen OTC pipelines

Therapeutic Segments US Potential

Cough / Cold / Anti-allergy $ 4.0Bn+

US Pharma OTC Market ($ Bn)(Source: Statista 2015)


US Pharma OTC MarketIs highly consolidated

Top ten retailers account for ~70% sales

(Source: IRI 2013)

• Other popular OTC products include laxatives, oral antiseptics and rinses, first aid care, sunscreen and ophthalmic

• Support supply needs for established OTC brands

Cough / Cold / Anti-allergy $ 4.0Bn+

Painkillers $ 2.3Bn+

Heartburn $ 1.4Bn+

USA : Branded Nutraceuticals

• US, the world’s largest nutraceuticals market is expected to grow from current size of $37bn to ~$55bn by 2020

• Natrol is amongst the top 20 branded nutraceuticals companies in US with 25+ years old, well established brands

• Portfolio of dietary supplements, sports nutrition, functional foods, vitamins, minerals and weight loss products

• Diverse Customer Base : Long term relationships with key distribution and retail partners

• Strong customer partnerships across multiple distribution channels with growth potential within each channel

www.natrol.com


• R&D capabilities in new innovative delivery formats as time release, fast dissolve and natural foam

Favorable Demand Drivers

•Aging population

•Rising healthcare costs

•Lack/risk of pharmaceutical solutions

•Obesity Epidemic

•Focus on fitness

•Consumer awareness and education

Europe Gx

FocusMarkets

Products Filedand in Market

FY14 $MnRevenues

1HFY15 $MnRevenue

Market Insights

France 500 - 85 Low Gx penetration at 30-35%. Market increasingly shifting towards Gx but characterized by ‘brand-loyalty’ amidst pricing pressure. ‘Tiers Payant’ promote Gx usage where co-payment (patient’s share of the healthcare cost) increases if a branded version is preferred to an available Gx variant.

Germany 287 8 48 Among the largest European pharma market, which has gradually transformed from a ethically distributed branded Gx market to a tender-driven one.

Netherlands 331 15 37 With the publication of the supply prices, accessibility of information has improved to promote Gx, with the knock-down effect on the prices and margins. Having full label product range is an advantage in becoming a preferred partner with pharmacy chains


pharmacy chains

Spain 204 19 24 Among the top 5 markets in Europe with low Gx penetration. Gx market is growing rapidly on back of healthcare reforms promoting usage of Gx. Recently, all regions within Spain has move to INN (International Non-proprietary Names) prescribing and substitution, thus ensuring faster penetration of Gx by pharmacists.

Portugal 260 4 12

UK 93 31 20 Highly competitive market with high Gx penetration and low barriers to entry. Characterized by high degree of fragmentation which along with indirect control on pricing by the government has led to severe downward pricing pressure.

Italy 235 - 12 Gx market is relatively small due to extended patent protection and limited measures by the Govt to improve generic usage. However. Gx market has been seen improving over the past few years

Europe Gx

Acquisition of Actavis’ Western European Commercial Operations

New ChannelsRetail Generics.Branded GxOTCHospital Products

New TherapeuticsHormoneOncologicalPenemOral ContraceptiveDermatologicalOphthalmic

• Strategic and transformative : leading Indian pharmaceutical company in Europe• Increased scale of operations• Pipeline of 200+ products• Hx and Branded Gx platforms to launch own

injectable and specialty portfolio• Strong and established channel partners

New MarketsFranceItalyBelgium

Countries with relatively low Gx substitution levels as France, Italy and Spain have initiated variety of measures including


Countries with relatively low Gx substitution levels as France, Italy and Spain have initiated variety of measures includingprice cuts, incentives to promote generic substitution (at pharmacy level) and tightening of reimbursement criterion.

• Aim to become one of top 10 Gx companies in Europe by FY16 • Sales channels include Generics (Gx), Branded Gx, OTC, Hospital products and Gx tenders• Strong foothold in France through Arrow Génériques brands• Vertically integrated platform provides operating synergy and supply chain focus• Compliment acquired hospital sales infrastructure with injectable and specialty portfolio


FY14 $ 111MnFY13 $ 86Mn

Anti-Retrovirals TGx

Revenues 1HFY15 $ 60Mn

• Treatment with ARV medicines against the retrovirus (HIV), which resides and multiplies within the human body

• Durable suppression of viral replication to prevent development of HIV, drug resistance and treatment failure

• Restoration/ preservation of immunologic function

• Reduction of HIV-related morbidity and mortality

• Improvement of the patient’s quality of life

• Prevention of onward transmission of HIV infectionAbacavir Efavirenz Atazanavir

Didanosine Nevirapine Lopinavir

Emtricitabine Etravirine Ritonavir

Lamivudine Rilpivirine

Stavudine

Global ARV Market Size (USD) in Generic Accessible Countries


1HFY15 $ 60Mn1HFY14 $ 71Mn

FY14 $ 141MnFY13 $ 138Mn

Stavudine

Zidovudine

Tenofovir

Generic Accessible Countries(Source: Clinton Health Access Initiative)

Market S

ize $ Mn

• Globally 35Mn people are HIV+ with 12Mn receiving treatment• APL catering to 3Mn HIV+ patients today • Large product basket of generic ARV incl. combination drugs and NDAs• Formulation facilities approved by USFDA / WHO•WHO recently included Tenofovir Triples as First Line Treatment (FLT)• Out of $1Bn Tenofovir Triples market, APL’s share is only 4% today

Rest of the World Gx

FocusMarkets

Products Filedand in Market

FY14 $MnRevenues

1HFY15 $MnRevenue

MarketInsights

Brazil 89 filed

35 approved

24 17 6th largest pharma market in the world ($25Bn). Largely branded Gx in nature with Gx substitution rising. ~80% spending on medicines is “out-of-pocket” in nature. Govt’s pro-Gx reforms is supporting in sharp rise in Gx penetration

South Africa 336 filed

144 approved

40 16 World’s largest HIV population lead to increasing govt directed efforts for ARV therapies. New international pricing system for innovators and benchmarking for Gx players being introduced. New pharmacy dispensing fee further encourage Gx uptake. APL focusing on enhancing presence on private oral and injectable (Hx)


Canada 80 filed

60 approved

7 3 Health care system is government funded. “Comprehensive” coverage includes all physician and hospital costs but not cost of Rx outside hospital. Provinces have established drug plans primarily for seniors (age > 65) and the poor

Other focus markets being developedMexico, ColumbiaUkraine, RussiaKenya, Tanzania, Ethiopia, NigeriaVietnam, Malaysia, Philippines

Largely driven by ethical promotion of Brands. Rising healthcare costs, capacity constraints and growing economic disparities pose new challenges and provide opportunities to promote Gx.


FY14 $ 77MnFY13 $ 77Mn

The Base Business : API

• Quality & Reliability of supplies

• Captive feed for value-added APL-Gx

• Emerging Market leadership - largest supplier in India

• Advance Market (EU, Japan, USA) focus

• Cost efficiencies as well as economies of scale

• Serve as preferred source for generics and branded drugs

Strong Regulatory Capability: US DMF 183; EDMF 1543; CoS 111; RoW 662

India Adding Value

Traditionally, acute therapies dominatedthe market but with changing lifestyle anddemographics, the disease profile isshifting towards chronic ailments, whichcontributes 40%+ to the industry salesbeing driven by lifestyle decease


• Focus on high value, specialty, small/mid-size products with a limited competition

APL offers cost competitiveness and high process chemistry skills coupled with commitment to quality.Share of emerging markets in India's overall API exports has reached 45% from 32% in 2007.

India 48%~3200 DMFs

China 16%~1000 DMFs

Italy 6%

Spain, Israel, Germany, Taiwan,

Japan 10%

Others 20%

Cumulative DMFs 2004 to Jun2014

Source: USFDA

Key Financials

$ Mn H1

FY14-15

H1

FY13-14FY13-14 FY12-13

Average $ = INR 60.1 58.9 60.4 54.3

US Gx 381 230 562 323

EU Gx 260 55 111 86

RoW gx 49 34 77 77

ARV Formulations 60 71 141 138

Formulations 750 390 891 624

Betalactam (SSP+Ceph) 150 150 307 313

Non Betalactam 75 80 167 154

Debt as on 31-Mar-14 30-Sep-14

Closing 1 $ = INR 59.915 61.750

Long Term Loan 205 219

WC (Lines of Credit) 413 300

Sales Tax Deferment 11 10

Gross Debt 629 529

Cash 97 83

Net Debt 532 447


Gross Block + CWIP

749 819

Non Betalactam 75 80 167 154

API 225 230 474 467

Operating Income 975 620 1365 1091

EBIDTA

(excl. Fx & other income)

216

22%

127

20%

353

26%

164

15%

Finance Cost 7 8 18 24

Depreciation 30 25 52 46

Other Income 6 2 4 5

PBT (excl Fx) 185 96 287 99

Investing in the Future…

Brownfield Expansions

New block for European market @ Unit 4 (General Injectable facility) Telangana, India

Commissioning of Penem Injectables facility @ AuroNext Haryana, India

New FDF blocks @ Unit 7 (SEZ), Telangana, India

New API blocks @ Unit 11, AP, India

Greenfield Projects

Oral Solid FDF facility @ Naidupet (SEZ), AP, India

FDF facility for European markets @ Pharmacity -Vizag, AP, India

API support facility for above @ Pharmacity -Vizag, AP, India

Commissioning of Specialty Products (Hormones and


New API blocks @ Unit 11, AP, India

New SSP injectable block @Unit 12 & additional unit Telangana, India

Capacity expansion @AuroLife, NJ, USA

Commissioning of Specialty Products (Hormones and Oncology) facility @ Eugia, Telangana, India

Oral solid FDF facility with warehousing @ USA

Initiating developmental research in highly complex molecules and novel technology platforms

Initiating entry into the branded Gx markets as Europe and USA through speciality brands addition

Way Forward…

Market share gain for products in market and new products (currently 120+ ANDAs under review) introductions

60+ ANDA filings under review and pipeline of Oncolytics, Hormones, Peptides and Penem

Traction in acquired Nutraceuticals business and Pharma OTC supply focus

Turn around of acquired business from Actavis and own filing pipelineEU

USA Specialty

Orals

OTC


Entry into branded-Gx markets in Europe and USA

Expansion in focus markets and new business opportunities

Enhanced capacities to support growth in advanced regulatory markets including USA and Japan

Branded Gx

RoW

API

Complex R&D in differentiated technology platforms as microspheres, dry powder injection inhalers, patches and films

New Opportunities

Thank You


For updates and specific queries, please visit our website www. aurobindo.com

Corporate Office: WaterMark Building,Kondapur, Hitech City, Hyderabad 500084, India

Phone: +91-40-66725000 / 66725401Email: [email protected]

Documents

Building a Leading Generics CompanyThey appear in a number of places throughout this Presentation and include statements regarding the Company’s intentions, beliefs or current expectations