Dr Reddy's said in a statement that it will not comment on market speculations over private equity (PE) firm Bain Capital approaching the company to explore a joint bid for Cipla's promoters' stake. The clarification comes after ET's report about private equity firm Bain Capital has approached Dr Reddy's to explore a joint bid for the promoters of Cipla.
Shares of Torrent Pharma and Cipla were down 3.1 per cent and 0.6 per cent in afternoon trading, respectively. Cipla, which makes anti-allergic drug Cetirizine and generic versions of respiratory drugs Advair and Albuterol, had in July issued a clarification saying there is no information to disclose as per listing regulations regarding a stake sale.
Rival contenders Blackstone, Baring Asia hit pause mode as Cipla valuations soar. Torrent taps PE funds like Warburg Pincus, CVC among others to raise around $1 bn before submitting binding offer by early October.
Torrent Pharmaceuticals on Thursday said that the US Food and Drug Administration (US FDA) has issued an Establishment Inspection Report (“EIR”) for the company's manufacturing facility at Dahej, Gujarat. EIR means closure of inspection.
Torrent Pharma is reportedly vying to acquire the Hamied family's stake in Cipla, which could become the largest pharmaceutical deal since 2014. If successful, the deal could create India's second-largest drugmaker by revenue. Other potential buyers include Blackstone and Baring PE Asia-EQT. Torrent Pharma is said to be forming a consortium with private equity funds and has approached multiple lenders for funding.
The earnings before interest, tax, depreciation and amortisation (EBITDA) 11% YoY to Rs 791 crore. The R&D spend rose 6% YoY to Rs 129 crore the second quarter.
Trade generics are branded medicines that are not promoted to physicians but are directly sold through retailers and distributors. In India, trade generics have a market share of 20% by volume and 5-6% by value, according to data and analytics firm IQVIA. The segment is growing around 14-15% per annum.
Ahmedabad-based pharmaceutical company CORONA Remedies has acquired the muscle relaxant brand Myoril from Sanofi India for Rs234 crore. The acquisition includes Myoril and its extensions. This acquisition comes after Corona's previous acquisitions of drug brands from GlaxoSmithKline and Abbott India. Myoril, with annual sales of Rs38 crore and a growth rate of 6.8%, will strengthen Corona's presence in the growing muscle relaxant market in India, which is valued at Rs1,626 crore.
The company's revenue rose to Rs 2,491 crore for the fourth quarter compared to Rs 2,131 crore in the year-ago period, Torrent Pharma said in a statement.
Plans are still on the drawing board and the storied Silicon Valley venture capitalist (VC) may not necessarily follow through with them, the sources cautioned. Menlo Park-headquartered Sequoia Capital had invested a sum of $16 million in Pankaj Singh-founded La Renon Healthcare in June 2015 at a valuation of around $100 million.
At the end of the inspection, we have been issued a 'Form 483' with 1 observation, which is procedural in nature. We will respond to the USFDA within the stipulated timeline and work closely with USFDA to address the observation at the earliest: Torrent pharma
Get updates on your preferred social platform
Follow us for the latest news, insider access to events and more.
