Aurobindo Pharma Buys Khandelwal Labs' Non-Oncology Business for ₹325 Cr
Overview
Aurobindo Pharma Limited's subsidiary, Auro Pharma, has acquired Khandelwal Laboratories' non-oncology prescription formulation business for ₹325 crore. The deal, structured as a slump sale, aims to bolster Auro Pharma's generic pharmaceutical portfolio and market presence. Vritti Law Partners advised Khandelwal Laboratories, while Trilegal represented Auro Pharma.
Stocks Mentioned
Auro Pharma Acquires Khandelwal Labs' Formulation Business for ₹325 Crore
Auro Pharma Limited, a wholly owned subsidiary of Aurobindo Pharma Limited, has finalized the acquisition of Khandelwal Laboratories Private Limited's non-oncology prescription formulation business. The transaction, valued at ₹325 crore, was conducted as a slump sale on a going-concern basis. This strategic move aims to expand Auro Pharma's footprint in key therapeutic areas outside of oncology.
Deal Mechanics and Advisors
Khandelwal Laboratories, a privately held pharmaceutical firm active in oncology, antibiotics, and pain management, divested its non-oncology segment. The sale included formulations undertaken on a going-concern basis. Vritti Law Partners provided legal counsel to Khandelwal Laboratories, managing transaction structuring, drafting, and negotiation. Trilegal advised Auro Pharma, handling due diligence, document drafting, negotiation, and closing support.
Strategic Rationale
Auro Pharma, a manufacturer and marketer of generic pharmaceuticals and APIs, seeks to integrate and grow this acquired business. The non-oncology portfolio complements Aurobindo Pharma's broader strategy to strengthen its generic drug offerings and market penetration across various therapeutic segments. This acquisition is expected to enhance Auro Pharma's product pipeline and revenue streams within India and potentially in international markets where it operates.
