Ranbaxy acquires Biovel to enter vaccines business

Ranbaxy Laboratories has signed an agreement with privately owned Biovel Lifesciences for acquiring the latter's product rights and manufacturing facility, marking an entry into the vaccine business.

The company did not disclose the value of the proposed acquisition.

The proposed transaction will give Ranbaxy access to all of Biovel's products, pipeline, IP, know-how and its manufacturing facility in Bangalore, Ranbaxy said in a filing with the Bombay Stock Exchange.

"With an increasing focus on prevention of disease, the importance of the vaccine market has never been greater. This transaction with Biovel provides us an entry platform to manufacture vaccines as well as biotherapeutics. The vaccine and biotherapeutics business will be an important part of our growth strategy," Atul Sobti, CEO and MD, Ranbaxy, said.

"We have created modern manufacturing infrastructure and a robust product pipeline. We are sure that Ranbaxy, with its global market reach, quality and manufacturing expertise, will be able to leverage this to its full potential, and create a business of scale," added Pratap Reddy, chairman of Biovel.

Under the deal, Ranbaxy would get rights to Biovel's products such as Typhoid Vi antigen and Hib conjugate vaccines, for which, Biovel has received regulatory approval for India; as well as Biovel's development pipeline, comprising a range of vaccines, biotherapeutics and other products.