Biocon Biologics Ltd expects to conclude the merger with Viatris’ biosimilars portfolio in FY24, chief executive Shreehas Tambe said on Friday. “We are looking to complete the transition ahead of time. We planned a two-year transition. But now we are looking to complete it by the end of this fiscal year,” Tambe said. Biocon closed its $3.34 billion acquisition of the global biosimilar portfolio of Viatris in November 2022 in a cash and equity deal. It paid $2 billion in cash, which included a $1.2 billion sustainability loan. It had also issued compulsorily convertible preference shares of around $1 billion to Viatris. In early June, the company said it had completed a third of the integration, covering 70 emerging economies.
It plans to complete integration in the US markets in the second quarter and expects to cover Europe, Japan, New Zealand, Australia and other markets by March 2024, Tambe added.
On Thursday, Biocon reported a 59% jump in revenues at a consolidated level to ₹3,516 crore on the back of a 106% jump in biosimilars revenue.
“Our key biosimilars are gaining traction in both U.S. and Europe with Fulphila becoming the leading biosimilar Pegfilgrastim in the U.S. and biosimilar Glargine’s market share crossing the 12% mark.,” executive chairperson, Biocon and Biocon Biologics, Kiran Mazumdar Shaw said.
Biocon said its core earnings before interest tax, depreciation and amortisation was up 42% at ₹936 crore. The company’s research and development investments stood at ₹315 crore in the first quarter.
Biocon Biologics is also separately likely to raise additional capital in the upcoming 12 months, Tambe told Mint earlier in June.
The company’s current valuation is in the range of $5.4 billion.
Biocon (including Biocon Biologics) has raised $850 million in capital for Biocon Biologics from external investors.