Ipca Laboratories announced that it has reached an agreement to buy a 33.38 percent stake in Unichem Laboratories from one of the company’s promoters for Rs. 1,034.06 crore. According to a share purchase agreement, Ipca will pay Rs. 1,034.06 crore to acquire 2,35,01,440 shares of Unichem from one of its promoters for a price of Rs. 440 per share. Ipca also announced an open offer to buy up to 26% of Unichem’s fully diluted outstanding equity share capital for Rs 440 per share from the company’s public equity shareholders.
The CCI must approve the deal before it can go through. “Unichem has a differentiated capability that is highly complementary to lpca’s strengths and has established an excellent and proven track record for quality.Premchand Godha, promoter and executive chairman of lpca Laboratories, said that this acquisition is consistent with the company’s stated goal of expanding its portfolio in its targeted growth markets. According to him, the businesses are in a good position to successfully integrate their product lines and expand.
Promoter, Chairman, and Managing Director of Unichem Laboratories Prakash A. Mody stated that lpca is the perfect partner to guide Unichem through its next phase of growth. “For Unichem, employees and customers have been core to its business, and I strongly believe, they will benefit from lpca’s expertise in providing competitive and integrated services globally,” he continued. Since its founding in 1949, LPC has made a significant international impact; today, exports generate close to 50% of its revenue. It creates finished dosage forms and active pharmaceutical ingredients as a vertically integrated drug company. A wide variety of pharmaceutical formulations are produced and sold by Unichem Laboratories in many nations around the world, including the US and Europe.