Torrent Pharmaceuticals to acquire Curatio Healthcare for Rs 2,000 crore

Torrent Pharmaceuticals on Tuesday said it will acquire Curatio Healthcare for Rs 2,000 crore to strengthen its presence in the dermatology segment.

The company has entered into definitive agreements to acquire 100 per cent of Curatio Healthcare for Rs 2,000 crore, Torrent Pharmaceuticals said in a regulatory filing.

"The consideration includes Rs 115 crore (on the date of signing) of cash and cash equivalents in the acquired business indicating an enterprise value of Rs 1,885 crore," it added.

The acquisition offers Torrent the opportunity to enhance its presence in dermatology with a differentiated portfolio and is a strong strategic fit, Torrent Pharmaceuticals Director Aman Mehta said.

"Curatio has built a commendable set of high market share brands in cosmetic and pediatric dermatology that we look forward to adding to our product offerings," he added.

Chennai-headquartered Curatio has a portfolio of over 50 brands, including Tedibar, Atogla, Spoo, B4 Nappi and Permite, in the cosmetic dermatology segment in India. Its top ten brands account for around 75 per cent of total revenue.

It clocked a revenue of Rs 224 crore in FY22 and dermatology accounts for 82 per cent of Curatio's revenue, the filing said.

The acquisition will catapult Torrent Pharma into the league of top 10 players in the dermatology segment and make it a leader in the cosmetic dermatology space, the company said.

"With this acquisition, Torrent Pharma will add a field force of 600 medical representatives and a distribution network of 900 stockists," the filing added.

Besides the promoters of Curatio, Sequoia and ChrysCapital will be exiting from the company through the transaction.

The transaction is subject to conditions precedent and is expected to close within one month, Torrent Pharma said.