Biocon Ltd. on Thursday said its subsidiary Biocon Biologics has allotted equity shares worth Rs 2,205.6 crore to it as part of an equity infusion to fund the latter’s acquisition of Viatris Inc.’s biosimilars business.
In February this year, Biocon Biologics Ltd. inked a pact to acquire Viatris’ biosimilars business for up to $3.34 billion (about Rs 24,990 crore).
Biocon has subscribed to the equity shares and allotment has been made by its subsidiary on Nov. 23 for a cash consideration of Rs 2,205.6 crore (around $270 million), it said in a regulatory filing.
Following allotment of shares, Biocon’s stake in its unit will be 88.85%, it added.
At the time of announcing the deal to acquire Viatris, Biocon Biologics had said it would be through a cash payment of $2 billion, which would be funded through $800 million raised through equity infusion and the remainder by debt, additional equity or a combination.