Torrent Pharma to Acquire Controlling Stake in J.B. Chemicals & Pharmaceuticals from KKR

Torrent Pharmaceuticals Limited has entered into definitive agreements to acquire a controlling stake in J.B. Chemicals and Pharmaceuticals from KKR at an Equity Valuation of INR 25,689 crores. The acquisition will be followed by a merger of the two entities, strengthening Torrent’s IPM market presence and providing operational synergies across multiple business functions. The transaction will be executed in 2 phases: 1. Acquisition of 46.39% equity stake through a Share Purchase Agreement at a consideration of INR 11,917 crores and a mandatory open offer to acquire up to 26% of JB Pharma shares from public shareholders. 2. Merger between Torrent and JB Pharma through a scheme of arrangement. The acquisition provides access to a fast growing India franchise, strengthens market share in the IPM for Torrent, and offers a platform diversification into the CDMO segment with long-term potential.