Blackstone, Brookfield, Warburg Pincus in talks for majority stake in Gland Pharma, says report

Morgan Stanley and UBS have been appointed as investment bankers to manage the sale, the report said.

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26 Aug, 2025 12:21

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Blackstone, Brookfield and Warburg Pincus are in discussion to buy a majority stake in generic injectables maker Gland Pharma, Mint reported citing people familiar with the development on February 13.

The deal between the three global private equity majors and China’s Shanghai Fosun Pharma - which owns a majority stake in the company - is likely to value the company at around $3 billion, the report added.

The Chinese firm had acquired a 74 percent stake in the Hyderabad-based firm in 2017 for $1.2 billion. Currently, it holds 51 percent and wants to sell its ownership in Gland Pharma.

Morgan Stanley and UBS have been appointed as investment bankers to manage the sale, the report said.

Moneycontrol could not yet independently verify the news report.

At present, Gland Pharma has a market capitalisation of around Rs 23,901 crore on NSE.

The firm on February 3 posted a 7 percent rise in its December quarter profit, as lower expenses helped mitigate the impact from production issues at its French unit Cenexi.

Gland's consolidated net profit stood at Rs 205 crore for the quarter ended December 31, 2024 as against to Rs 192 crore in the year-ago period. Revenue from operations slipped 10.4 percent to Rs 1,384 crore over Rs 1,545.2 crore in December 31 ended quarter. However, its total expenses also dropped 11 percent due to lower inventory costs.

Fosun Pharma is the listed arm of Chinese billionaire and investor Guo Guangchang’s Fosun International, and owns about 58 percent of Gland Pharma.

A 6.2 percent stake in Gland Pharma was sold in a block deal, worth Rs 1,815 crore, in June 2024, by Fosun Pharma.

A consolidation in the US market has led to a reduction in the number of virtual generic companies sourcing products from companies like Gland Pharma, Nomura has said in a report last year.