Mankind Pharma slips into red after rising 5% in opening deals; firm to acquire Bharat Serums and Vaccines

The company said it has entered into a definitive agreement to acquire a 100% stake in BSV from Advent International (“Advent”), one of the world’s largest private equity investors, for an enterprise value of around ₹13,630 crore. 

The stock hit a high of ₹2,250 in the early trade on the NSE, up 5% against the previous close of ₹2,144.40. However, minutes later, it erased all gains and was trading in negative territory.

"This strategic move marks a significant leap for Mankind Pharma, positioning it as a market leader in the Indian women's health and fertility drug market alongside access to other high entry barrier products in critical care with established complex R&D tech platforms," the company said in its press release. 

BSV, the press release added, has a niche portfolio offering in women's health, encompassing the entire lifecycle, from fertility to post-pregnancy. BSV has one of the most comprehensive portfolios in the fertility segment to scale in both the Indian and international markets amid increasing IVF penetration.

Commenting on the acquisition, Sheetal Arora, Chief Executive Officer and Whole-time Director at Mankind Pharma, said, "Mankind’s strategic acquisition of BSV with a branded specialty pharma portfolio across India and emerging markets presents immense growth potential and will add to its existing growth velocity. Moreover, BSV’s business will be highly synergistic with our comprehensive product portfolio, expansive field force, and doctor coverage." 

The CEO added that the company is confident this would correspond to the expansion of EBITDA margins and thereby solidify its position as a company known for marketing innovative and specialised offerings.