Dr Reddy's Laboratories today received approval of USFDA to launch Esomeprazole Magnesium Delayed-Release Capsules USP, 20 mg and 40 mg, a therapeutic equivalent generic version of NEXIUM (esomeprazole magnesium) Delayed-Release Capsules in the US market. Esomeprazole is a proton pump inhibitor that reduces the amount of acid in stomach. The Nexium brand and generic had US sales of approximately USD 5.2 bn MAT for the most recent twelve months ending in July 2015 according to IMS Health. We have factored revenue of around USD 39 mn (previous USD 11.3 mn) in FY16E and USD 52 mn (previous USD 30 mn) in FY17E from Esomeprazole Magnesium.