‘Neutral’ on Sun Pharma, target Rs 690

However, we believe this is a complementary addition to Sun’s dermatology portfolio in the US.

Through this acquisition, Sun Pharma forays into specialty branded space in the regulated market. Dusa brings a technology platform in dermatology.

The technology is photodynamic therapy (PDT). Under PDT, light-sensitive compounds, when exposed to light, act therapeutically.

Currently, two clinical trials are under way to further expand the area of application for the drug. Trials are also under way for shortening the treatment cycle of the drug. Dusa earns almost all its revenues from the US, but also has presence in Canada.