Biocon Ltd. has announced the acquisition of Eywa Pharma Inc.'s oral solid dosage manufacturing facility in New Jersey, U.S. for $7.7 million.
Biocon Generics Inc., its step-down, wholly-owned subsidiary, has acquired Eywa Pharma Inc.'s facility located in Cranbury, New Jersey, the pharma company said in an exchange filing on Friday. The total consideration for the acquisition is $7.7 million (around Rs 64 crore).
"As part of the acquisition, the existing workforce of the facility will transition to Biocon Generics Inc. The facility has a potential for capacity expansion up to two billion tablets/capsules per year," Biocon said.
Siddharth Mittal, managing director and chief executive officer at Biocon said, “The acquisition of this U.S. FDA approved facility, our first in the U.S., will complement Biocon's existing manufacturing capabilities and strengthen our foothold in the United States."
He added that it would enable them to add oral solid dosage capacities for new products earlier than originally planned and ensure continuity of supply through the diversification of manufacturing infrastructure.
"Our focus will be on integrating the acquired facility expeditiously and expanding our portfolio in the region.”
Shares of the company closed 0.48% higher on Friday at Rs 260.65 per share as compared to 0.86% rise in the benchmark Sensex.
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