Mumbai-based Elder had announced restructuring plans to clear debts worth Rs 1,300 crore, accumulated after multiple acquisitions abroad. Torrent said the deal fitted in its growth strategies in terms of portfolio, market presence and capabilities. We will now focus and grow our in-licensing, anti-infectives and exports businesses.” Under the proposed transaction, Elder would continue to manufacture and supply products at its manufacturing facilities for Torrent for three years, a statement said.Īlok Saxena, managing director and chief executive, Elder, said: “This path-breaking domestic consolidation by Torrent addresses our recent challenges and will significantly help Elder de-leverage its balance sheet. The transaction would also involve the transfer of employees engaged in sales, marketing and operations of the India business. Torrent said the buyout would be funded by a mix of internal accruals and bank borrowings. Debt-ridden Elder Pharmaceuticals has agreed to sell its domestic formulation business in India and Nepal to Torrent Pharmaceuticals for Rs 2,000 crore.
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