The Foreign Investment Promotion Board has cleared Shanghai Fosun's deal to acquire Small Volume Parenterals (SVPs) manufacturer, Gland Pharma, on March 30, 2017. The FIPB approved 10 FDI proposals, which also include Gland Pharma’s proposal, worth Rs 4300 crore.
In the previous week, Gland Pharma-Shanghai Fosun deal was postponed by the inter-ministerial body which is worth 1.4 billion. Now the deal has been approved, and the capital infusion will help Gland Pharma establish its presence in Africa, Europe & Japan.
Gland Pharma develops & manufactures generic injectables, primarily for the US market. Established in 1978, the company sells its products in India and other semi-regulated markets. This is the 1st deal in the pharma sector after government allowed 74% FDI through the automatic route.