 "Biocon in talks with Mylan to merge biosimilar businesses: Report")
Indian drugmaker Biocon Ltd is in talks with generic drugmaker Mylan for a merger of their biosimilar businesses, financial news website Moneycontrol reported on Thursday, citing sources with direct knowledge of the matter.
Biocon will seek to hold a controlling majority stake in the merged entity and the companies will also look for an initial public offering (IPO) for the entity post-merger in which they will seek a valuation of over $10 billion, the report said.
Spokespersons for Biocon and Viatris Inc, the company which was formed after combining Mylan with Pfizer Inc's off-patent branded drugs business, said that the companies do not comment on market rumours and speculation.
Biocon's biosimilar business, Biocon Biologics, and Viatris already have an extensive collaboration agreement under which they develop, manufacture and commercialise a broad portfolio of biosimilars and diabetes generic drugs including insulin injection Semglee.
In September, Biocon said the biosimilar unit will sell a 15% stake to a Serum Institute of India subsidiary for access to millions of vaccine doses, including COVID-19 shots. The deal valued Biocon Biologics at about $4.9 billion.
Biocon Biologics has also raised capital through several rounds this year and last year from high-profile names such as Abu Dhabi-based ADQ, Goldman Sachs and Tata Capital Growth Fund.
Shares of Biocon were down 1.9% as of 0626 GMT in a weak Mumbai market.
(Reporting by Anuron Kumar Mitra in Bengaluru; Editing by Rashmi Aich)
Biocon will seek to hold a controlling majority stake in the merged entity and the companies will also look for an initial public offering (IPO) for the entity post-merger in which they will seek a valuation of over $10 billion, the report said.
Spokespersons for Biocon and Viatris Inc, the company which was formed after combining Mylan with Pfizer Inc's off-patent branded drugs business, said that the companies do not comment on market rumours and speculation.
Biocon's biosimilar business, Biocon Biologics, and Viatris already have an extensive collaboration agreement under which they develop, manufacture and commercialise a broad portfolio of biosimilars and diabetes generic drugs including insulin injection Semglee.
In September, Biocon said the biosimilar unit will sell a 15% stake to a Serum Institute of India subsidiary for access to millions of vaccine doses, including COVID-19 shots. The deal valued Biocon Biologics at about $4.9 billion.
Biocon Biologics has also raised capital through several rounds this year and last year from high-profile names such as Abu Dhabi-based ADQ, Goldman Sachs and Tata Capital Growth Fund.
Shares of Biocon were down 1.9% as of 0626 GMT in a weak Mumbai market.
(Reporting by Anuron Kumar Mitra in Bengaluru; Editing by Rashmi Aich)
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%