To acquire a 70 per cent stake for a consideration of Rs 50 crores
Advanced Enzyme Technologies has entered into definitive agreements with API maker JC Biotech to acquire a 70 per cent stake for a consideration of Rs 50 crores. The proposed transaction was approved by the board of Advanced Enzymes today.
CL Rathi, MD, Advanced Enzymes, said, “We expect this deal to immediately strengthen our market leadership in API Serratiopeptidase, giving us significant competitive advantage as well as flexibility in production. JC Biotech has the ability to handle solvent based fermentation and recovery, which is highly complementary to our current production process.”
The acquisition is expected to close latest by end of December 2016. Advanced Enzymes will finance the acquisition largely through internal accruals. Upon closing, the acquisition is expected to be accretive to Advanced Enzymes’ EPS for FY17.
EP News Bureau