Fosun Pharma will now be gaining a 74% in Gland Pharma, in a deal which has been in the pipeline since July. The deal has been revised from 86%, removing any further regulatory obstacles and go through the more rapid process under the foreign direct investment policy.
Costing over $1 billion, Gland Pharma will remain headquartered in Hyderabad and see the company further its ambitions within pharmaceutical manufacturing, and grow its services within India and the US. In 2003, Gland Pharma became the first company in India to get US Food and Drug Administration (“FDA”) approval for pharmaceutical liquid injectable products.
Gland Pharma’s world-class manufacturing facilities have also received approvals from a number of key medical regulatory agencies around the globe including those in Australia, Germany, and the UK, as well as the World Health Organization (“WHO”).
Mr. Chen Qiyu, Chairman of Fosun Pharma said: “Gland Pharma’s management team, along with the support from KKR, has done a tremendous job of growing the business to become the global leader in Generics Injectables Industry.
The deal will greatly strengthen Fosun Pharma’s global presence and accelerate our speed of internationalization. It will enable us to provide more high-quality products and services to our patients worldwide.”
The two pharmaceutical manufacturers are expected to integrate production lines and synergize innovation in developing biopharmaceutical products. Fosun Pharma would also be able to further explore the international market by leveraging Gland Pharma’s research capability and India’s preferential policies upon generic drugs.