Claris to invest Rs 900 crore for business growth
The proceeds from selling its stake in the infusion business will be used as fresh investment in Claris.
New Delhi, December 13, 2012: The Ahmedabad-based sterile injectables pharmaceutical firm, Claris Lifesciences has announced that the company will invest Rs 900 crore on the growth of business and pre-payment of the debt of the company.
It may be noted here that the company has recently divested 80 per cent stake in its infusion business for a total consideration of Rs 1,050 crore and has entered into a tripartite joint venture with two Japanese firms for the same. The company will be using the proceeds of this disinvestment in fuelling the growth of business and off-loading its debt.
The company said the entire cash of Rs 1,050 crore will be received upfront on closing of the transaction, which is estimated to be around April-May, 2013. The Indian drug firm has signed joint ventures with Japan based Otsuka Pharmaceutical Factory (OPF) and Mitsui & Co Ltd for its infusion business in India and emerging markets.
As per the terms of the JV, Claris will transfer the infusion business to the JV Claris-Otsuka. OPF will have 60 per cent stake in the JV while Mitsui and Claris will have 20 per cent each.