Fosun to acquire Gland Pharma, with smaller stake

Shanghai Fosun Pharmaceutical Group announced on Monday it will acquire an approximately 74 percent stake in the Indian generic drug maker Gland Pharma, down from the 86 percent stake announced last July.

Founder shareholders of Gland Pharma said they have proposed to maintain a higher stake in the company, as it continues to perform well. Revisions of the agreement will not impact Fosun Pharmaceutical's acquisition of a controlling interest in Gland Pharma, according to the founder shareholders.

Fosun Pharmaceuticals will pay about $1.09 billion for the acquisition.

According to the announcement, the stake of Gland Pharma held by KKR Floorline Investment and the company's founder shareholders that will be acquired by Fosun Pharmaceutical has been adjusted from 69.971 percent to 57.891 percent. KKR will no longer own shares in Gland Pharma once the transaction is completed.

Meanwhile, the aggregate number of shares held by the Vetter family and the number of convertible shares to be purchased by Fosun Pharmaceutical remain unchanged.

The termination date for the deal will be extended to Oct 3.

Headquartered in Gland Hyderabad, India, Pharma is a leading Indian pure play generic injectable pharmaceutical products company founded 39 years ago. It is the first injectable drugs manufacturer in India to be approved by the US FDA.