Ipca Labs approves the acquisition of 26.5% of the capital of Lyka Labs
The board of directors of Ipca Labs has approved the acquisition of 26.574% of the paid-up share capital of Lyka Labs Limited and the conclusion of a joint management control agreement with the promoters of Lyka Labs. Ipca said it acquired 26.574% of Lyka’s shares on the secondary market for Rs. 97.89 crore. Shares of Ipca Labs were trading down 1% at ??2037.80 while Lyka was stuck in the upper circuit of 5% against a gain of 0.5% in the Nifty pharma index.
Following this share acquisition, Ipca Labs also made a public announcement to acquire an additional 26% of Lyka shares from its public shareholders under SEBI regulations.
The pharmaceutical company Lyka Labs Ltd. was incorporated in 1976 under the Companies Act 1956 and is engaged in the manufacture and marketing of injectables, lyophilized injectables and topical formulations. Lyka’s manufacturing plant is located in Ankleshwar, Gujarat. The main activity of the company comes from India and the markets of the rest of the world (ROW). The company’s products are registered in several countries.
For the six-month period ended September 30, 2021, Lyka reported sales of ??109.87 crores.
Ipca Labs said it currently has no business directly related to lyophilized injectables. Acquiring a stake in Lyka Labs will allow the company to embark on a lucrative freeze-dried injectable business in India and the rest of the world, Ipca said.
Lyka Labs will also benefit immensely from the Company’s marketing expertise in the branded generic formulations business of the rest of the global markets of Africa, Latin America, Southeast Asia and the Middle East, where Lyka Labs Ltd. does not currently carry out any activity, said Ipca.
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