Mr. Yash Gupta - Equity Research Associate, Angel Broking Ltd
Laurus Labs Limited has signed definitive agreements with the Sellers i.e. Eight Roads Ventures and VenturEast Proactive Fund and Ventur East Life Fund III, to acquire 72.55% stake in Richcore Lifesciences Private Limited, a Biotechnology Company, subject to completion of conditions precedent, by way of cash consideration of Rs. 246.67 Crores. This acquisition marks the Company entry into the broader biologics and biotechnology segments. Post this acquisition, Richcore shall become a Subsidiary Company of the Company and the Company will drive scale and operations at Richcore to enable it to become a dominant player in the biotechnology segment. Total valuation of Richcore 340 Cr and cost of acquisition will be 246.7 Cr for 71.55% stake. This will be a significant milestone for Laurus Labs, as this acquisition company will enter the business of Biotechnology which is a rapidly growing business. Biotechnology business generally have more than 5 years of gestation period so this is a very good strategy by laurus to acquire Richcore.
Shares of Laurus Labs Ltd was last trading in BSE at Rs.285.05 as compared to the previous close of Rs. 289.75. The total number of shares traded during the day was 191513 in over 6743 trades.
The stock hit an intraday high of Rs. 292.3 and intraday low of 282.05. The net turnover during the day was Rs. 54797399.