With this acquisition, Eris will now be the parent company of two popular insulin products: Insugen and Basalog. They hold market shares over 10% and are the biggest Indian brands in their respective categories. With this acquisition, Eris's diabetes care segment has the potential to generate revenue of Rs 1,000 crore ($183 million), making it the fifth largest diabetic portfolio in India.
Additionally, the agreement marks Eris's entry into the critical care and oncology sectors. To maintain production and delivery of the Biocon product line for Indian market launch, Biocon Biologics Ltd. and Eris Lifesciences Ltd. have entered into a 10-year supply agreement.
The acquisition provides immediate benefits to the business of Eris-owned Swiss Parenterals, especially considering the latter's extensive portfolio of more than 240 distinct compounds. The Biocon product line is anticipated to rapidly upscale as a result of the acquisition, utilizing the Swiss portfolio. Technology insourcing or transfer to Swiss facilities may be used to increase margins.
“This long-term collaboration with Biocon marks an exciting phase for Eris Lifesciences. Their pioneering efforts and commitment to quality in the Biosimilars domain enable us to take this franchise to even greater heights and turbocharge our entry into the thriving India Branded Injectables market,” said Amit Bakshi Eris’s Chairman & Managing Director.
The agreement is expected to close financially on April 15, 2024, and debt will be used to finance it.
“This strategic collaboration with Eris Lifesciences for our portfolio of Metabolics, Oncology, and Critical Care products in India aligns with our commercial strategy to maximize patient reach and market potential,” said Shreehas Tambe, CEO & Managing Director, Biocon Biologics Limited, said. “It builds on the success of our existing partnership with Eris for our Nephrology and Dermatology products and will allow us to deliver our high quality, lifesaving biosimilars to millions of patients in India,” he said.
