Biocon Biologics India receives EU GMP Certification for multiple biosimilar manufacturing facilities
Biocon gained 0.78% to Rs 406.55 after the biopharmaceuticals company said on Friday a private equity fund managed by Tata Capital will invest Rs 225 crore ($30 million) in its biosimilar business.Biocon on Friday announced that the board of its subsidiary Biocon Biologics India (Biocon Biologics) has approved a primary equity investment by Tata Capital Growth Fund. As per the terms of the proposed agreement, Tata Capital will invest Rs 225 crore for a 0.85% minority stake in the biosimilar business, valuing Biocon Biologics at an equity valuation of Rs 26,250 crore and an enterprise valuation of Rs 30,400 crore.
Post the completion of this transaction, Biocon will hold 95.25% stake in Biocon Biologics. The equity infusion by Tata Capital will enable Biocon Biologics' future growth through prudent capital allocation, while the company continues to invest in R&D and manufacturing to meet its growing demands of patients worldwide.
Biocon Biologics is engaged in developing high-quality, affordable biosimilars aimed at expanding patient access to a cutting-edge class of therapies across the world.
Shares of Biocon have gained 4.2% in last one month, as compared to a 8.66% rise in Nifty Pharma index.
On the technical front, the stock's RSI (relative strength index) stood at 47.918. The RSI oscillates between zero and 100. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.
The stock is trading below its 20 days moving average placed at 414.09 but above its 50 days simple moving average placed at 394.93. These levels will act as crucial resistance and support zones in near term.
Biocon is a fully integrated, innovation-led global biopharmaceuticals company.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)