J B Chemicals & Pharmaceuticals Ltd to acquire portfolio of brands

The Board of Directors of J. B. Chemicals & Pharmaceuticals Ltd. (JBCPL) at its meeting held on December 13, 2022 have considered and approved acquisition of portfolio of brands for a consideration of ~INR 313.7 crores (excluding working capital and taxes).

JB Chemicals & Pharmaceuticals Limited (JB Pharma) entered into an agreement with Glenmark Pharmaceuticals Ltd to acquire the 'Razel' franchise. These brands are focused on cardiac segment in India and Nepal with a total covered market size of INR 2444 crores as per IQVIA MAT Oct'22 data. The combined sales* of these brands as per internal estimates are ~INR 29 crores for H1 of FY 2023.

JB Pharma sees growth potential from the acquired portfolio as it is synergistic with its cardiac segment and will help it leverage its Go to Market Model. Further the products provide good operating leverage and are margin accretive, given its attractive margin profile.

Shares of JB Chemicals & Pharmaceuticals Limited was last trading in BSE at Rs. 2034.10 as compared to the previous close of Rs. 2058.05. The total number of shares traded during the day was 2319 in over 811 trades.

The stock hit an intraday high of Rs. 2061.00 and intraday low of 1995.55. The net turnover during the day was Rs. 4689072.00.

Source : Equity Bulls

Keywords

JBChemicalsandPharmaceuticals INE572A01028 BrandPortfolio Acquisition