News

Torrent Pharma expects ₹19,500 crore JB Pharma deal to complete in 15-18 monthsAs part of the multi-stage transaction, Torrent will initially acquire a 46.39% stake from JB Chemicals' promoter Tau Investment Holdings Pte Ltd, a global investment firm, for approximately ₹11,917 crore. An additional 2.80% stake will be purchased from certain employees for about ₹719 crore, at the same rate of ₹1,600 per share.By Poonam Behura  June 30, 2025, 6:40:50 PM IST (Published)2 Min ReadTorrent Pharmaceuticals on Monday said it expects to complete its ₹19,500-crore acquisition of JB Chemicals and Pharmaceuticals over the next 15 to 18 months, marking the second-largest deal in Indian pharma history.

As part of the multi-stage transaction, Torrent will initially acquire a 46.39% stake from JB Chemicals' promoter Tau Investment Holdings Pte Ltd, a global investment firm, for approximately ₹11,917 crore. An additional 2.80% stake will be purchased from certain employees for about ₹719 crore, at the same rate of ₹1,600 per share.

Following these transactions, Torrent will launch a mandatory open offer to acquire up to 26% stake from public shareholders, at an offer price of ₹1,639.18 per share, which could cost ₹6,842.8 crore.

Torrent said in an investor presentation filed with the BSE that the overall transaction timeline is 15–18 months, pending approvals from the Competition Commission of India (CCI), SEBI, and relevant stock exchanges.

After completing the share acquisition, JB Chemicals will be merged into Torrent Pharmaceuticals, with shareholders receiving 51 Torrent shares for every 100 shares of JB Chemicals held.

The deal offers Torrent significant strategic advantages, including access to JB Pharma’s well-established brands in the chronic therapy space, and entry into new segments such as ophthalmology. It will also enable Torrent to tap into contract development and manufacturing (CDMO) opportunities, enhance market share in the Indian Pharmaceutical Market (IPM), and boost its international footprint.

Once finalised, the acquisition will become the second-largest pharma deal in India, behind Sun Pharma’s ₹32,000-crore (approx. USD 4 billion) takeover of Ranbaxy in 2015. That transaction, announced in April 2014, was completed in March 2015 after regulatory clearances.

More recently, Mankind Pharma completed the acquisition of Bharat Serums and Vaccines Ltd (BSV) for ₹13,768 crore in 2024.

With this move, Torrent Pharmaceuticals aims to solidify its position as a major player in India's pharma landscape while expanding its global and therapeutic reach.Continue ReadingCheck out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!Tags