Torrent Pharma to acquire Curatio Healthcare for Rs 2,000 cr; stock down 6%

ICICI Securities is positive on Torrent's ability of faster integration and turnaround of acquired assets in the domestic space

Shares of Torrent Pharmaceuticals dipped 6 per cent to Rs 1,449 on the BSE in Wednesday's intra-day trade after the drug company, on Tuesday, signed a definitive agreement to acquire cosmetic dermatology player Curatio Healthcare for Rs 2,000 crore. The consideration includes Rs 115 crore of cash and cash equivalents in the acquired business, indicating an Enterprise Value of Rs 1,885 crore.

Curatio has operations in India, Nepal, Srilanka, and Philippines. The deal catapults Torrent from the 21st spot in the domestic dermatology market to the tenth spot.

Curatio's portfolio consists of leading brands such as Tedibar, Atogla,