Biocon Ltd., a biopharmaceuticals company, on Friday announced that the board of its subsidiary Biocon Biologics India Limited has approved a primary equity investment by Tata Capital Growth Fund.
As per the terms of the proposed agreement, Tata Capital will invest ₹225 crore for a 0.85% minority stake in the biosimilar business, valuing Biocon Biologics at an equity valuation of ₹26,250 crore, or $3.5 billion, and an enterprise valuation of ₹30,400 crore, or $4 billion.
The transaction is subject to standard condition precedents and approvals. Post the completion of this transaction, Biocon will hold 95.25% stake in Biocon Biologics, as per a company statement.
Christiane Hamacher, CEO, Biocon Biologics, said: “This equity infusion is the next step in our journey of unlocking value. Through prudent investments in R&D and high-quality manufacturing infrastructure we are confident of achieving our aspiration of serving five million patients through our biosimilars portfolio and achieving a target revenue of $1 billion in FY22.”
