The Board of Directors of the company has approved the signing of a Business Transfer Agreement (BTA) in this regard with PNBPL.
The acquisition will be completed in the next two months. The amount of consideration for the acquisition agreed under the BTA is Rs 60.02 crore. The transaction is undertaken on a slump sale basis.
The consideration is payable in two tranches — around Rs 15 crore of the total purchase consideration will be paid on or before the closing date, while the rest Rs 45.01 crore will be paid within 90 days from the closing date.
The transaction includes certain contract manufacturing agreements along with transfer of employees, assets (tangible and intangible), current assets and current liabilities, licenses and permits (excluding certain assets and liabilities of PNBPL as specified under BTA).
The objective of the acquisition is to expand the product portfolio of the existing business of the company.