The shares of prominent pharmaceutical companies gained up to 4 percent in today’s trading session after the company signed definitive agreements with global investment firm KKR to acquire a controlling stake in JB Chemicals & Pharmaceuticals worth Rs 25,689 crores on a fully diluted basis.
With a market capitalization of Rs 1.13 lakh crore, the shares of Torrent Pharmaceuticals Ltd were trading at Rs 3,350.75 per share, increasing around 0.19 percent as compared to the previous closing price of Rs 3,344.40 apiece.
The shares of Torrent Pharmaceuticals Ltd have seen positive movement after it signed definitive agreements to acquire a controlling stake in JB Chemicals & Pharmaceuticals from KKR at an equity valuation of Rs 25,689 crore (fully diluted). The deal will be followed by a merger of both companies, boosting Torrent’s market position and product portfolio.
Further, Torrent Pharma will acquire a 46.39 percent stake in JB Pharma for Rs 11,917 crore (₹1,600 per share) via a Share Purchase Agreement with KKR. A mandatory open offer will follow to buy up to 26 percent from public shareholders at Rs 1,639.18 per share. Torrent also aims to purchase 2.80 percent equity from JB Pharma employees at the same price.
The acquisition offers Torrent Pharma a fast-growing India franchise with strong chronic segment brands and access to new areas like ophthalmology. It enhances Torrent’s IPM market share, enables operational synergies, and diversifies its platform through CDMO entry. The deal also strengthens its global footprint and supports scalable international expansion.
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Additionally, Torrent Pharma and JB Pharma will merge through a scheme of arrangement approved by both boards. Under the terms, JB Pharma shareholders will receive 51 Torrent shares for every 100 JB Pharma shares held. The share swap aims to streamline operations, unlock synergies, and strengthen Torrent’s presence in the domestic and international pharmaceutical markets.
Moreover, J.B. Chemicals & Pharmaceuticals Ltd, a publicly listed company, specializes in manufacturing and marketing a broad range of pharmaceutical formulations. As of March 31, 2025, it reported a consolidated turnover of ₹3,918 crore and a net worth of ₹3,433.32 crore. The company’s strong financials make it a strategic fit for Torrent Pharma’s growth ambitions.
“We are pleased to have on board the JB Pharma heritage and build on the platform for the future. Torrent’s deep India presence and JB Pharma’s fast-growing India business, combined with the CDMO and international footprint, offer immense potential to scale both revenue and profitability. This strategic alignment furthers our goal of strengthening our presence in the Indian pharma market and builds a larger, diversified global presence. Moreover, the CDMO platform provides a new long-term avenue of growth for Torrent,” said Samir Mehta, Executive Chairman, Torrent.
Looking forward to the company’s financial performance, revenue increased by 8 percent from Rs 2,745 crore in Q4FY24 to Rs 2,959 crore in Q4FY25. Further, during the same time frame, net profit increased by 11 percent from Rs 449 crore to Rs 498 crore.
Torrent Pharmaceuticals Limited is an India-based pharmaceutical company. The Company is focused on various therapeutic segments, such as cardiovascular (CV), central nervous system (CNS), gastrointestinal (GI), vitamins, minerals, nutrients (VMN), anti-diabetes (AD), pain, gynecology, and dermatology.
Written by Abhishek Singh
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