Latest news with #JBChemicalsandPharmaceuticals
Hans India
19-07-2025
- Business
- Hans India
Torrent Pharma set to be India's 2nd pharma major
New Delhi: Ahmedabad-based Torrent Pharmaceuticals has sought fair trade regulator CCI's clearance to acquire a majority stake in in JB Chemicals and Pharmaceuticals in a Rs19,500-crore the completion of the deal, Torrent Pharmaceuticals will become India's second most valued pharma company. The development came after Torrent Pharmaceuticals in June this year announced the acquisition of a majority stake in JB Chemicals and Pharmaceuticals in a Rs19,500-crore deal. 'The proposed combination relates to acquisition of shareholding by the acquirer (Torrent Pharmaceuticals Ltd) in the target (JB Chemicals & Pharmaceuticals Ltd) and the subsequent amalgamation of the target with the acquirer,' according to a notice filed with the Competition Commission of India (CCI). Torrent Pharmaceuticals is the flagship company of the Torrent group and is engaged in the business of manufacturing and sale of pharmaceutical formulations (FDFs) across therapeutic segments.
Time of India
18-07-2025
- Business
- Time of India
Torrent Pharma seeks CCI nod to acquire majority stake in JB Chemicals for Rs 19,500 crore
Torrent Pharmaceuticals is looking to acquire J B Chemicals and Pharmaceuticals. The deal is worth Rs 19,500 crore. The company has sought clearance from the Competition Commission of India. After the deal, Torrent will become India's second most valued pharma company. Torrent will acquire a 46.39 per cent stake from Tau Investment. It will also buy 2. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Ahmedabad-based Torrent Pharmaceuticals has sought fair trade regulator CCI's clearance to acquire a majority stake in in J B Chemicals and Pharmaceuticals in a Rs 19,500-crore the completion of the deal, Torrent Pharmaceuticals will become India's second most valued pharma development came after Torrent Pharmaceuticals in June this year announced the acquisition of a majority stake in J B Chemicals and Pharmaceuticals in a Rs 19,500-crore deal."The proposed combination relates to acquisition of shareholding by the acquirer (Torrent Pharmaceuticals Ltd) in the target (J B Chemicals & Pharmaceuticals Ltd) and the subsequent amalgamation of the target with the acquirer," according to a notice filed with the Competition Commission of India (CCI).Torrent Pharmaceuticals is the flagship company of the Torrent group and is engaged in the business of manufacturing and sale of pharmaceutical formulations (FDFs) across therapeutic segments.J B Chemicals & Pharmaceuticals is engaged in business of manufacturing and marketing of diverse range of FDFs and APIs (Active Pharmaceutical Ingredients) and also provides CDMO (Contract Development and Manufacturing Organisation) services as parties ( Torrent Pharma and J B Chemicals) said that their activities exhibit horizontal overlaps in certain relevant markets for the manufacturing and sale of FDFs in June, Torrent said it will acquire 46.39 per cent stake from promoters Tau Investment Holdings Pte Ltd, an affiliate of global investment firm KKR, for about Rs 11,917 crore. It would additionally buy another 2.80 per cent from certain employees of JB Chemicals at the same acquisition price of Rs 1,600 per share (totaling Rs 719 crore).Post this, it would make an open offer for buying 26 per cent from open market, as per listing norms, at a price of Rs 1,639.18 per share (totaling Rs 6,842.8 crore).This will be the second biggest deal in the pharma sector ever, behind Sun Pharmaceutical Industries ' 2015 acquisition of Ranbaxy Laboratories. Post share purchase, JB Pharma will merge into 2020, KKR had bought a 65 per cent stake in JB Chemicals & Pharmaceuticals. In March this year, KKR divested a 5.8 per cent stake in JB Pharma for Rs 1,460 crore through open market in 1976, JB Pharma produces a range of pharmaceuticals in areas such as gastroenterology, dermatology and diabetes, etc. Torrent Pharma , with annual revenues of more than Rs 11,500 crore, is the flagship company of the Torrent Group, with group revenues of Rs 45,000 April 2014, Sun Pharma had announced it would acquire troubled rival Ranbaxy in an all-stock transaction worth USD 4 billion that includes USD 800 million debt. The merger was 'consummated' following receipt of requisite approvals a year later in March another big deal, Mankind Pharma last year completed the transaction to acquire Bharat Serums and Vaccines for a consideration of Rs 13,768 crore.
Time of India
18-07-2025
- Business
- Time of India
Torrent Pharma seeks CCI nod to acquire majority stake in JB Chemicals for Rs 19,500 cr
New Delhi, Ahmedabad-based Torrent Pharmaceuticals has sought fair trade regulator CCI's clearance to acquire a majority stake in in J B Chemicals and Pharmaceuticals in a Rs 19,500-crore deal. After the completion of the deal, Torrent Pharmaceuticals will become India's second most valued pharma company. Explore courses from Top Institutes in Select a Course Category CXO others MBA Operations Management Leadership Data Analytics Artificial Intelligence Design Thinking Product Management MCA Public Policy Technology healthcare Digital Marketing Others Cybersecurity Data Science Management Healthcare Degree Data Science Project Management PGDM Finance Skills you'll gain: Technology Strategy & Innovation Emerging Technologies & Digital Transformation Leadership in Technology Management Cybersecurity & Risk Management Duration: 24 Weeks Indian School of Business ISB Chief Technology Officer Starts on Jun 28, 2024 Get Details Skills you'll gain: Customer-Centricity & Brand Strategy Product Marketing, Distribution, & Analytics Digital Strategies & Innovation Skills Leadership Insights & AI Integration Expertise Duration: 10 Months IIM Kozhikode IIMK Chief Marketing and Growth Officer Starts on Apr 7, 2024 Get Details Skills you'll gain: Digital Strategy Development Expertise Emerging Technologies & Digital Trends Data-driven Decision Making Leadership in the Digital Age Duration: 40 Weeks Indian School of Business ISB Chief Digital Officer Starts on Jun 30, 2024 Get Details Skills you'll gain: Operations Strategy for Business Excellence Organizational Transformation Corporate Communication & Crisis Management Capstone Project Presentation Duration: 11 Months IIM Lucknow Chief Operations Officer Programme Starts on Jun 30, 2024 Get Details The development came after Torrent Pharmaceuticals in June this year announced the acquisition of a majority stake in J B Chemicals and Pharmaceuticals in a Rs 19,500-crore deal. "The proposed combination relates to acquisition of shareholding by the acquirer (Torrent Pharmaceuticals Ltd) in the target (J B Chemicals & Pharmaceuticals Ltd) and the subsequent amalgamation of the target with the acquirer," according to a notice filed with the Competition Commission of India (CCI). Torrent Pharmaceuticals is the flagship company of the Torrent group and is engaged in the business of manufacturing and sale of pharmaceutical formulations (FDFs) across therapeutic segments. Live Events J B Chemicals & Pharmaceuticals is engaged in business of manufacturing and marketing of diverse range of FDFs and APIs (Active Pharmaceutical Ingredients) and also provides CDMO (Contract Development and Manufacturing Organisation) services as well. The parties ( Torrent Pharma and J B Chemicals) said that their activities exhibit horizontal overlaps in certain relevant markets for the manufacturing and sale of FDFs in India. In June, Torrent said it will acquire 46.39 per cent stake from promoters Tau Investment Holdings Pte Ltd, an affiliate of global investment firm KKR, for about Rs 11,917 crore. It would additionally buy another 2.80 per cent from certain employees of JB Chemicals at the same acquisition price of Rs 1,600 per share (totaling Rs 719 crore). Post this, it would make an open offer for buying 26 per cent from open market, as per listing norms, at a price of Rs 1,639.18 per share (totaling Rs 6,842.8 crore). This will be the second biggest deal in the pharma sector ever, behind Sun Pharmaceutical Industries ' 2015 acquisition of Ranbaxy Laboratories. Post share purchase, JB Pharma will merge into Torrent. In 2020, KKR had bought a 65 per cent stake in JB Chemicals & Pharmaceuticals. In March this year, KKR divested a 5.8 per cent stake in JB Pharma for Rs 1,460 crore through open market transactions. Established in 1976, JB Pharma produces a range of pharmaceuticals in areas such as gastroenterology, dermatology and diabetes, etc. Torrent Pharma, with annual revenues of more than Rs 11,500 crore, is the flagship company of the Torrent Group, with group revenues of Rs 45,000 crore. In April 2014, Sun Pharma had announced it would acquire troubled rival Ranbaxy in an all-stock transaction worth USD 4 billion that includes USD 800 million debt. The merger was 'consummated' following receipt of requisite approvals a year later in March 2015. In another big deal, Mankind Pharma last year completed the transaction to acquire Bharat Serums and Vaccines for a consideration of Rs 13,768 crore. ETMarkets WhatsApp channel )
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Business Standard
30-06-2025
- Business
- Business Standard
Torrent Pharma share pops 4% on ₹25,689-cr JB Chem deal; analysts cautious
Torrent Pharmaceuticals has signed a definitive agreement to acquire a controlling stake in JB Chemicals and Pharmaceuticals (JBCP) at a fully diluted equity valuation of ₹25,689 crore. Tanmay Tiwary New Delhi Torrent Pharma share price today: Pharmaceutical company Torrent Pharmaceuticals shares were in focus on Monday, June 30, after the company announced a massive ₹25,689-crore deal to acquire JB Chemicals & Pharmaceuticals (JBCP). The Torrent Pharmaceuticals share surged as much as 3.89 per cent intraday to ₹3,474.60 apiece before paring gains. At last count, shares were trading 0.72 per cent higher at ₹3,368.35, even as the BSE Sensex remained flat around 84,003.81. The deal Torrent Pharmaceuticals has signed a definitive agreement to acquire a controlling stake in JB Chemicals and Pharmaceuticals (JBCP) at a fully diluted equity valuation of ₹25,689 crore. The transaction, structured in two phases, begins with Torrent Pharmaceuticals acquiring 46.39 per cent stake via a share purchase agreement (SPA) at ₹1,600 per share, amounting to ₹11,917 crore. This will be followed by an open offer to buy up to 26 per cent from public shareholders at ₹1,639 per share. Additionally, Torrent Pharmaceuticals said that it aims to acquire 2.8 per cent of JB Chemicals and Pharmaceuticals' equity from certain employees at the same price offered to KKR. As part of the transaction, Torrent Pharmaceuticals and JB Chemicals and Pharmaceuticals will merge—JB Chemicals shareholders will receive 51 Torrent Pharmaceuticals' shares for every 100 JB Chemicals and Pharmaceuticals shares held. The deal is now pending shareholder and Competition COmmission of India (CCI) approvals and is expected to close in six months. Brokerages' view Brokerages broadly see the deal as strategically major, though the near-term impact remains mixed. According to domestic brokerage firm Motilal Oswal, the acquisition provides Torrent Pharmaceuticals with a diversified branded portfolio that includes several potential mega brands, a pan-India reach supported by a 2,800-strong medical representative field force, robust manufacturing infrastructure for multiple dosage forms, and access to a growing Contract Development and Manufacturing Organisation (CDMO) business driven by lozenges. The brokerage believes this acquisition is value accretive over the medium to long-term. Excluding the impact of JB Chemicals and Pharmaceuticals, Torrent Pharmaceuticals is expected to post a 12 per cent revenue, 14 per cent Ebitda, and 23 per cent PAT CAGR over FY25–27. The brokerage values the stock at 38x 12-month forward earnings, arriving at a target price of ₹3,430. However, it maintained a 'Neutral' rating, citing limited upside from current levels despite the deal's long-term merits. Those at Japan-based foreign brokerage firm Nomura noted that the move aligns with Torrent Pharmaceuticals' history of inorganic growth, particularly in India. The acquisition offers near-term cost synergies and potential long-term revenue synergies, especially as both firms have a dominant presence in the Cardiac and Gastro segments. However, it flagged concerns around execution risks given the unprecedented size of this deal for Torrent. Unlike past acquisitions, valuation premiums are higher, and there's limited headroom for operational improvement as JBCP is already a well-run business with strong market share in key products. In the near-term, the acquisition could be earnings dilutive, especially when factoring in higher interest and amortisation costs. Excluding amortisation, the deal may be marginally EPS accretive—if merged using Torrent stock. Thus, Nomura maintained a 'Neutral' rating on Torrent Pharmaceuticals with a target price of ₹3,580, based on 25x FY27 Ebitda of ₹4,850 crore. The stock currently trades at 26.1x one-year forward Ebitda. While analysts are mixed on the immediate financial impact, the Street appears optimistic about Torrent Pharmaceuticals' long-term strategic play in scaling up its domestic and international presence through this acquisition.
