Biocon Biologics Ltd., a subsidiary of Biocon Ltd. announced that it has successfully completed its multi-billion-dollar (USD) acquisition of the global biosimilars business of its partner Viatris Inc.
Biocon Biologics and Viatris have obtained all applicable approvals from key global regulators, including the U.S. Federal Trade Commission, the Competition Commission of India and the Reserve Bank of India, and its investors.
Effective from the date of closing, Biocon Biologics will recognize the combined revenue and associated profits from the acquired biosimilars products, a step-up from the existing profit share arrangement.
The acquisition provides Biocon Biologics with direct commercial capabilities and supporting infrastructure in the advanced markets and several emerging markets, bringing it closer to patients, customers, and payors.
The integration of Viatris' acquired business and Biocon Biologics' existing capabilities in research and development, global scale manufacturing and commercialization in several emerging markets positions Biocon Biologics as a unique, fully integrated, leading global biosimilars player that is well placed to provide equitable access to high quality, lifesaving biosimilar medicines to patients across the globe. With this acquisition Biocon Biologics emerges as a leading global biosimilars player with eight commercialized products.
With the closing of the deal, Biocon Biologics has full ownership of its collaboration assets, bTrastuzumab, bPegfilgrastim, bBevacizumab, bGlargine, bAspart, bPertuzumab and bGlargine 300U, as well as Viatris' rights for the in-licensed immunology products of bAdalimumab and bEtanercept. Biocon Biologics has also exercised the option to acquire Viatris' rights for bAflibercept.
Biocon Biologics has a unique portfolio of 20 biosimilar assets, including insulins and monoclonal antibodies, which can make a meaningful difference to patients' lives around the world.
Kiran Mazumdar-Shaw, Executive Chairperson, Biocon Biologics, said: "The completion of the acquisition of Viatris' global biosimilars business is a historic inflection point in Biocon Biologics' journey of becoming a world leading, fully integrated biosimilars enterprise, committed to serve patients' needs for affordable access to essential biomedicines. It will fast-track our direct entry into several advanced and emerging markets. This acquisition builds on our decade-long partnership and will enable us to realize our vision of addressing global health inequities. I believe this move will strengthen our value proposition to deliver long-term value to Biocon and Biocon Biologics shareholders."
Viatris has received USD 2 billion upfront cash payment and USD 1 billion in Compulsorily Convertible Preference Shares, representing a stake of at least 12.9% (on a fully diluted basis) in Biocon Biologics.
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