Aurobindo Pharma acquires domestic formulations business of Veritaz Healthcare

29 Mar 2022 , 08:32 AM

Aurobindo Pharma has announced the proposed acquisition of domestic formulations business of Veritaz on a slump sale basis. With this acquisition, Aurobindo has poised to set its footprint in the Indian Domestic Formulations Market announced earlier.

The transaction is agreed at a consideration of Rs171 crore on debt free cash-free basis.

The transaction comes into effect from April 1, 2022, and is expected to close by May, 2022.

This acquisition vehicle will greatly help us as a launch pad for marketing biosimilar and other products in India, the company said in the filing.

The acquisition of the business by the company is being done an arms-length price to supplement the Company’s plans to enter into domestic formulations business.

Veritaz operates in the pharmaceutical industry in India and sells branded generic formulations and other healthcare related products.

Further, the valuation of the Business has been done by MIs. RBSA Capital Advisors LLP and MIs. PwC Business Consulting Services LLP. Legal Diligence has been done by MIs. Khaitan & Co. The lower of the business valuation has been considered for the purpose of arriving at the sale consideration, it added.