Biocon Biologics said that it has entered into a long-term commercial collaboration with Eris Lifesciences to expand patient access to its portfolio of Metabolics, Oncology, and Critical Care products in India.
Biocon Biologics has signed a 10-year supply agreement with Eris, as a part of this deal. The transaction is expected to come into effect on April 1, 2024.
The total transaction value of Rs 1242 crore which represents an accretive multiple of 3.4x of revenues and 18x of EBITDA. As part of the deal over 430 employees associated with the business are expected to transition to Eris.
“This strategic collaboration with Eris Lifesciences for our portfolio of Metabolics, Oncology, and Critical Care products in India aligns with our commercial strategy to maximize patient reach and market potential,” said Shreehas Tambe, CEO & Managing Director, Biocon Biologics Limited in a press statement.
“It builds on the success of our existing partnership with Eris for our Nephrology and Dermatology products and will allow us to deliver our high quality, lifesaving biosimilars to millions of patients in India,” he added.
This collaboration is in line with Biocon Biologics’ strategy to unlock value from its legacy business of branded formulations built over the past two decades and extends its existing partnership with Eris for Biocon’s Nephrology and Dermatology business announced in Dec 2023, according to the company.
The acquisition brings two major insulin brands – Basalog and Insugen – into the Eris fold. These are the largest Indian brands in
their respective segments with market shares of over 10 percent. With this acquisition, Eris’s Diabetes care franchise will soon reach Rs 1,000 crore in revenue and become the 5th largest diabetes portfolio in India, according to the company. The deal will be funded through debt financing.
Also read: Eris acquires nephrology, dermatology brands of Biocon for Rs 366 crore
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