Torrent Pharmaceuticals is going to acquire Unichem Laboratories for Rs 3,600, companies’ statement said on Friday. The pharmaceutical giant will buy Unichem’s both India and Nepal branded formulations. The deal is expected to close by the end of 2017. According to the statement, Torrent will fund the acquisition amount through bank borrowings and internal accruals. About 3,000 employees of both the companies will get added to the employee pool.
Ahmedabad-based Torrent has been looking to expand its business in India and showed interest in Unichem because of its Losar brand of drugs in the cardiovascular space, media reports said. Earlier in April, Torrent Pharmaceuticals said that it has entered into pacts with Swiss pharma major Novartis AG to acquire certain generic drugs.
Torrent was competing against Abbott India and Mylan Laboratories for the acquisition of Unichem. Unichem’s revenue from the domestic formulations business was Rs 839.5 crore in the financial year 2016-17, 11% more than the previous year.