Shanghai Fosun Pharmaceutical Group has agreed to buy an 86 percent stake in Indian drug-maker Gland Pharma for 1.3 billion US dollars.

Gland Pharma owns four factories in India and supplies a variety of injectable drugs. The deal will be the largest foreign acquisition of an Indian company this year and will be subject to regulatory approval.

India is a major global drug supplier and counts the United States as its largest export market for injectables. Moody's Indian associate ICRA estimates the US injectables market will grow at around 10 percent annually over the next five years.