Biocon on Thursday said its board has approved to acquire 1.5% equity share capital for Rs 550 crore in Biocon Biologics, from one of its existing investors who decided to exercise the liquidity option, in an all cash deal.
Post this purchase, Biocon’s stake in Biocon Biologics will be 90.2%.
The purchase is expected to be completed on or before February 1, 2025, subject to the completion of necessary formalities.
Biocon reported 96% year-on-year (YoY) drop in net profit to Rs 25 crore in Q3FY25.
The company reported net profit of Rs 660 crore during Q3FY24, aided by an exception item of Rs 566 crore.
Revenue from operations rose 10% YoY to Rs 3821 crore in Q3FY25.EBITDA for the quarter rose 16% YoY to Rs 787 crore, representing an EBITDA margin of 20%. The core EBITDA rose 4% YoY to Rs 1007 crore. The core EBITDA margins declined 400 basis points YoY to 26%.Biosimilar business (Biocon Biologics) that constitutes 58% rose 14% YoY on like-to-like basis to Rs 2289 crore led by market share gains for biosimilars such as Ogivri (anti-cancer), Fulphila(anti-cancer), and Semglee (insulin glargine).
Generics and API revenue dropped 2% YoY to Rs 686 crore. Research services under Syngene were up 11% to Rs 944 crore.
“The growth trajectory is clearly visible with sequential growth across all the three business segments this quarter,” said Kiran Mazumdar-Shaw, chairperson, Biocon and Biocon Biologics.
“Syngene’s return to growth, combined with global approvals for biosimilar Ustekinumab and European approval for generic Liraglutide, will pave the way for launches and drive growth in Q4 and beyond. These developments will strategically position the Biocon Group for enhanced long-term growth,” Mazumdar-Shaw added.