Torrent Pharmaceuticals, the Ahmedabad-based drugmaker, has announced plans to acquire a 46.39% controlling stake in Mumbai-headquartered JB Chemicals and Pharmaceuticals from private equity firm KKR. The deal is valued at ₹19,500 crore, marking the second-largest transaction in India’s pharmaceutical sector and positioning Torrent as the country’s second-most valuable pharma company.

Following the transaction, Torrent will launch an open offer to acquire an additional 26% stake from public shareholders—a regulatory requirement under Indian takeover rules. Once the open offer concludes, Torrent expects to merge JB Pharma into its operations, combining both entities’ portfolios.

The transaction establishes a fully diluted valuation for JB Pharma of ₹25,689 crore, reflecting its strong brand equity and growth potential. Shares of JB Pharma dropped over 6% on the BSE following the announcement, with concerns raised over the open offer being priced roughly 9% below the prevailing market rate.

According to sources, the deal is expected to close within 15 to 18 months, making it the most substantial acquisition in the sector since Sun Pharma’s 2015 takeover of Ranbaxy. Torrent Pharmaceuticals will leverage both equity and debt financing, including raising approximately $1.6 billion through banks, following patterns set in prior acquisition talks.

The acquisition represents a transformational step for Torrent, which has built its business through a combination of branded generics and strategic mergers and acquisitions. JB Pharma brings a strong presence in critical therapeutic segments—cardiology, gastroenterology, anti-infectives, and women’s health—anchored by popular brands such as Nicardia, Rantac, Cilacar, and Metrogyl.

JB Pharma recorded robust performance in FY25, posting ₹3,918 crore in revenue—12% higher than the prior year—and expanding its profitability, despite broad market challenges. Analysts view the acquisition as strategically complementary to Torrent’s existing portfolio, offering enhanced scale, geographic reach, and entry into contract development and manufacturing organization (CDMO) services .

Torrent’s Managing Director designate, Aman Mehta, has previously outlined an ambition to break into India’s top three pharma companies by 2027 through focused inorganic growth. A successful integration of JB Pharma could bring Torrent’s revenues to the ₹15,000–16,000 crore range, positioning it just behind market leader Sun Pharma.

Industry observers suggest the deal will accelerate consolidation in India’s branded generics market, reinforcing Torrent’s capability to leverage JB Pharma’s marketing networks and manufacturing synergies. The shared product portfolios offer scope for cross-selling and operational efficiencies.

The transaction represents another milestone in KKR’s exit from JB Pharma. The private equity firm originally acquired a 54% stake in 2020 for ₹3,100 crore and gradually sold part of its holdings earlier in 2025. With Torrent stepping in as the buyer, KKR’s exit underscores the attractiveness of Indian mid-cap pharma assets to both strategic and financial investors.

Moving forward, regulatory approval, the outcome of the open offer, and integration execution will shape the long-term success of the deal. However, Torrent’s decisive move signals its ambition to challenge India’s pharma hierarchy and emerge as a leading force across domestic and export markets.