Drug firm Wockhardt on Friday said it will exit loss-making US generic business while enhancing focus on new drug discovery in the field of antibiotics and biological drugs for diabetes.
The company is undertaking a significant strategic realignment of its US business in line with its long-term vision to build a differentiated, innovation-driven pharmaceutical enterprise, the Mumbai-based drug firm said in a statement.
As part of this transition, the company has decided to exit the US generic pharmaceutical segment, paving the way for a deeper focus and investment in its advanced product portfolio, it added.
The drug firm said it will focus on new antibiotic drug discovery, where Wockhardt has established a leadership position globally, with a strong pipeline of differentiated assets.
Besides, it would also look at its biological portfolio in Insulin, leveraging advanced technologies to address critical unmet needs in diabetes care.
The company said its US generic business has been incurring losses over the past several years.
In FY2025 alone, the generic business incurred a loss of nearly USD 8 million, it said.
Following a comprehensive strategic review, the company has concluded that continuing in this segment would detract from its broader innovation agenda.
Accordingly, Wockhardt has filed for voluntary liquidation under Chapter 7 of the US Bankruptcy Code for its American step-down subsidiaries Morton Grove Pharmaceuticals and Wockhardt USA LLC. Both wholly-owned subsidiaries of Wockhardt Bio AG are incorporated in Delaware.
This decision, effective July 11, 2025, enables a clean and structured exit from a legacy segment and unlocks management bandwidth and capital for high-impact areas, it said.
By stepping away from the commoditised generics space, the company is positioning itself to create long-term value through innovation, scientific excellence, and sustainable profitability.
The company remains committed to its pharmaceutical operations in India, the UK, Ireland, and other geographies where its businesses continue to deliver strong performance, it added.
Wockhardt shares on Friday ended 3.51 per cent up at Rs 1,756.75 apiece on BSE.
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