Dr Reddy's closes Wockhardt branded generics deal on modified terms

Under new terms, DRL to hold back Rs 300 crore and release it if the revenue from sale of the products forming part of the business undertaking during the 12 months post-closing exceeds Rs 480 cr

Dr Reddy's Laboratories Limited today announced that it has completed the acquisition of select divisions of Wockhardt Limited's branded generics business in India and a few other international territories of Nepal, Bhutan and Maldives. The deal was completed along with certain changes in the original terms of agreement pertaining to the payment consideration.

On February 12, 2020, Dr Reddy's signed a business transfer agreement (BTA) with Wockhardt to acquire the said business undertaking for an upfront consideration of Rs 1,850 crore. 

Under the new terms, an amount of Rs 1,483 crore would be paid on the date of closing. An amount of