Page 51 - CW E-Magazine (Oct-Nov-2023)

Happenings

NEWS ROUNDUP
A round-up of recent happenings in the Indian

pharmaceuticals landscape

ACQUISITIONS / ment from GLS, the management said. Viatris divests Indian
DIVESTMENTS As part of the transaction, Glenmark API operations to IQuest
Life Sciences and Nirma have agreed
Glenmark Pharma sells to certain non-compete and non-solicit Enterprises
75% in Glenmark Life arrangements for a specified period. Viatris, the US-based firm formed
Sciences to Nirma Biocon acquires Eywa by the merger between Mylan and Pfiz-
er’s Upjohn unit in 2020, has sold two
Glenmark Pharmaceuticals has Pharma’s US-based plant of its businesses in India for $1.2-bn
agreed to divest 75% stake in Glenmark for $7.7-mn as part of a global exercise to exit non-
Life Sciences (GLS) to Nirma Ltd. for core businesses.
a consideration of Rs. 5,651-crore (at Bengaluru-based biotechnology Viatris said it sold the Indian API
Rs. 615 per share). The transaction will firm, Biocon, has announced that its business to IQuest Enterprises, a Hy-
help strengthen Glenmark Pharma’s unit has acquired Eywa Pharma Inc’s derabad-based firm owned by Matrix
balance sheet, as it extinguishes the oral solid dosage manufacturing fa- Laboratories founder Mr. Nimma-
debt, said Mr. Glenn Saldanha, Chair- cility in the US for $7.7-mn (over Rs. gadda Prasad.
man and Managing Director, Glenmark 63-crore). The deal marks
Pharmaceuticals. The gross debt is Mr. Prasad’s re-
about Rs. 4,500-crore.
entry into the
API business
According to Mr. Saldanha, Glen-
mark Pharma and GLS has divergent that he sold to
Mylan in 2006. IQuest emerged as the
pathways, as Glenmark Pharma looks preferred investor following a global
to move up the value chain into special- competitive bid.
ity and innovative products, with a con-
tinuous focus on core therapeutic areas IQuest Enterprises is a multi-sector
of dermatology, respiratory and oncol- investment company with a proven
ogy, and GLS was focused on manufac- track record of pharmaceutical and
turing and marketing APIs across major healthcare investments. A significant
global markets. part of the team at IQuest Enterprises
was involved with some of the current
While Nirma is not a traditional Biocon Generics Inc has acquired facilities when it was operating as part
pharmaceutical company, he said, they Eywa’s Cranbury-based plant effective of Matrix Labs, which was divested in
had a small injectible business and September 1, 2023, the company said 2006 to Mylan. Subsequently in 2020,
were investing in pharmaceuticals, in a statement. As part of the acquisi- Mylan was merged with another entity
though the GLS acquisition would be tion, the existing workforce of the facil- to be renamed as Viatris.
a major one. Nirma will make a man- ity will transition into Biocon Generics
datory open offer to public sharehold- Inc. The facility has the potential for Viatris’ API business in India in-
ers of GLS for 17.15% at Rs. 631 per capacity expansion of up to 2 billion cludes three manufacturing sites and a
share, he said. tablets/capsules per year. The acquisi- research lab in Hyderabad, three manu-
tion will help the company to add oral facturing sites in Visakhapatnam and
Glenmark Pharma will retain 7.84% solid dosage capacities for new prod- third-party API sales, Viatris said in
in GLS after the divestment. Presently, ucts earlier than originally planned and a statement. The company will retain
Glenmark Pharma procures about 15% ensure continuity of supply through the some R&D capabilities in API. Viatris
of its APIs from GLS. It continues to diversification of manufacturing infra- sold its women’s healthcare business to
have a five-year procurement agree- structure. Insud Pharma of Spain.

Chemical Weekly October / November 2023 47