Even as pharmaceutical major Daiichi-Ranbaxy is resolving the issue over pricing of Zenotech Laboratories in court, it is close to sealing another acquisition deal.
According to reliable sources, Ranbaxy Laboratories has zeroed in on Bangalore-based biotech company Biovel Life Sciences Pvt Ltd for a takeover bid. The deal size is said to be around Rs 50 crore.
Sources said the takeover of the biotech by Ranbaxy is likely to happen soon; “The talks are in final stages,” they said.
Officials from Ranbaxy and Biovel were unavailable for comment.
Last year, Ranbaxy acquired 46% stake in Zenotech, and after Daiicho Sankyo took 64% stake in it, the Japanese firm made an open offer for an additional 20% to the latter at a discounted price.
Zenotech has dragged Daiichi to court over pricing of its shares. Biovel, which produces biogenerics, bio-superiors & biopharmaceuticals, has been on the block for some time now.
Khalil Ahmed, executive director of Shanta Biotech, says the acquisition will give Ranbaxy, which is a pure pharmaceutical, a wider presence in the biotech space.
Though, he said, looking at Biovel’s size, it would not make any significant impact on the business of the pharma giant. “I don’t know what strategic value it will bring to Ranbaxy. I’m sure they must have done the due diligence of the company (Biovel). They should have gone for a bigger acquisition,” he said. Biovel is mainly involved in research and production of vaccines, recombinant therapeutic proteins and bio-superiors.
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