Big deal in pharma sector: Torrent Pharma will buy controlling stake in JB Pharma, agreement made with KKR

Gujarat-based Torrent Pharmaceuticals and global investment company KKR on Sunday announced that Torrent has signed a definitive agreement with KKR to acquire a controlling stake in JB Chemicals and Pharmaceuticals (JB Pharma). The deal has been done on a fully diluted basis at an equity valuation of Rs 25,689 crore, after which the two companies will merge. The deal has been done for Rs 19,500 crore, making Torrent India’s second largest market value pharma company.

Under this deal, Torrent Company will buy 46.39 percent stake from the promoters of JB Chemicals for about Rs 11,917 crore. Apart from this, the company will also buy 2.80 per cent stake from some employees at the rate of Rs 1,600 per share, which will cost around Rs 719 crore. After this, as per the listing rules, Torrent will bring an open offer to buy 26 per cent stake from the open market, which will cost Rs 1,639.18 per share and the total amount will be Rs 6,842.8 crore.

Deal was canceled last year

Last year, Torrent Pharma was in talks to acquire JB Pharma but the deal was canceled due to differences over valuation. KKR bought 54 per cent stake in JB Pharma in July 2020 for about Rs 3,100 crore, which was at Rs 745 per share. In March 2025, KKR reduced it to 47.84 per cent by selling some of its stake through a block deal.