Biocon Biologics Ltd (BBL), a subsidiary of Biocon Ltd, has announced the acquisition of Viatris' Biosimilars assets for up to $3.335 billion (Rs 25K crore) in stock and cash.
Bengaluru-headquartered Biocon said it has entered into a definitive agreement with its partner Viatris. Accordingly, BBL will acquire Viatris' biosimilars business to create a "unique fully integrated global biosimilars enterprise".
"Viatris will receive consideration of up to $3.335 billion, including cash up to $2.335 billion and Compulsorily Convertible Preference Shares (CCPS) in BBL, valued at $1 billion," Biocon said in a statement. The Board of Directors of both companies have approved the transaction.
The statement said BBL will have a comprehensive portfolio comprising its current range of commercialised insulins, oncology, and immunology biosimilars as well as several other biosimilar assets currently under development.
BBL also has access to the vaccines portfolio through its previously announced partnership with Serum Institute Life Sciences (SILS), it was stated.
Kiran Mazumdar-Shaw, Executive Chairperson, Biocon Biologics, said, “This acquisition is transformational and will create a unique fully integrated, world leading biosimilars enterprise. Our long-standing global partnership with Viatris has enabled us to achieve many firsts, setting new benchmarks for the global biosimilars industry. This strategic combination brings together the complementary capabilities and strengths of both partners and prepares us for the next decade of value creation for all our stakeholders.”
She said the deal will enable BBL to attain a robust commercial engine in the developed markets of US and Europe and will fast-track the company's journey of building a strong global brand.
"It will also make us future-ready for the next wave of products. This development takes our partnership with Viatris to the next level to realise our shared purpose of impacting global health by providing affordable access to high quality essential and life -saving Biosimilar drugs,” Mazumdar-Shaw added.
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