Cipla Shares Dip as US FDA Approves Aurobindo's Generic Advair; Citi Sees 'Marginal Negative'

• Cipla shares fell up to 2% after US FDA approved Aurobindo Pharma's generic Advair inhaler.
• Citi termed the development a "marginal negative" for Cipla, which is also awaiting FDA approval for its own generic Advair.
• Aurobindo Pharma acquired Lannett, which received the FDA approval, for $250 million last year.
• The generic Advair version is expected to add $30-40 million to Aurobindo's annual US revenues.
• Cipla's stock dropped to a nine-month low of Rs 1,436.60, with a market capitalization of nearly Rs 1.17 trillion.

Why It Matters: Cipla shares declined after a rival's generic Advair approval, but future US revenue contribution is expected.