CCI Approves Merger of Covidshield Technologies into Biocon Biologics, Serum Institute Life Sciences Acquires 15% Equity Shareholding
The Competition Commission of India (CCI) approves the merger by absorption of Covidshield Technologies into Biocon Biologics in consideration for the acquisition of approximately 15% equity shareholding of Biocon Biologics by Serum Institute Life Sciences
The Proposed Combination involve s a merger by absorption of Covidshield Technologies Private Limited (CTPL), a wholly-owned subsidiary of the Serum Institute Life Sciences Private Limited (Acquirer) into the Biocon Biologics Limited (Target) pursuant to a scheme of merger in consideration of which the Acquirer will acquire approximately 15% equity shareholding on a fully diluted basis in the Target.
Commission approves merger by absorption of Covidshield Technologies into Biocon Biologics in consideration for acquisition of approximately 15% equity shareholding of Biocon Biologics by Serum Institute Life Sciences pic.twitter.com/1EqdVZlSo4
— CCI (@CCI_India) May 18, 2022
The Acquirer is a subsidiary of Serum Institute of India Private Limited and was established as a company for further development and commercialization of vaccines and therapies against COVID-19. It also had plans to further develop vaccines against other infectious diseases. At present, the Acquirer is in the process of setting up its own manufacturing facility.
CTPL, Wholly Owned Subsidiary of Acquirer, to Merge with Target to Facilitate Vaccine and Pharmaceutical Product Distribution
CTPL is a wholly owned subsidiary of the Acquirer, which shall be merged into the Target pursuant to the Proposed Transaction. It was incorporated to undertake the business of marketing, selling and distributing vaccines, drugs and other pharmaceutical products.
Biocon Limited’s Subsidiary, the Target, Provides Treatment for Chronic and Acute Diseases, with R&D Centres and Manufacturing Facilities
The Target is a subsidiary of Biocon Limited, and it offers treatment for chronic and acute diseases such as diabetes, oncology, nephrology, cancer, and autoimmune diseases. The Target also has research and development centres in Bengaluru and Chennai. It has manufacturing facilities in Bengaluru and Malaysia for monoclonal antibodies, recombinant proteins and insulins.