Ahmedabad-based Torrent Pharmaceuticals has approached the Competition Commission of India (CCI) to obtain regulatory clearance for its proposed ₹19,500-crore acquisition of a majority stake in JB Chemicals & Pharmaceuticals Ltd. Once completed, the acquisition would make Torrent the second most valued pharmaceutical company in India.
According to the CCI filing, the transaction involves Torrent Pharmaceuticals acquiring a controlling interest in JB Chemicals, followed by the eventual merger of JB into Torrent Pharma. The acquisition marks a strategic consolidation in India’s pharmaceutical landscape.
Torrent Pharmaceuticals, the flagship entity of the Torrent Group, is a leading player in the manufacture and distribution of pharmaceutical formulations across multiple therapeutic segments. JB Chemicals, established in 1976, is involved in the production and marketing of a broad range of finished dosage formulations (FDFs), active pharmaceutical ingredients (APIs), and also offers contract development and manufacturing (CDMO) services.
The two companies acknowledged overlapping operations in certain segments of the Indian FDF market. However, the proposed merger is expected to enhance capabilities, expand market reach, and improve product diversification.
In June 2025, Torrent announced it would acquire a 46.39% stake in JB Chemicals from Tau Investment Holdings Pte Ltd, an affiliate of private equity giant KKR, for ₹11,917 crore. Additionally, Torrent will purchase a 2.80% stake from select JB Chemicals employees for ₹719 crore, both at ₹1,600 per share.
Subsequent to these acquisitions, Torrent will launch a mandatory open offer to acquire up to 26% from public shareholders, priced at ₹1,639.18 per share, amounting to ₹6,842.8 crore in total consideration.
The proposed deal is expected to be the second-largest M&A transaction in India’s pharmaceutical industry, trailing only Sun Pharma’s $4 billion acquisition of Ranbaxy Laboratories in 2015.
KKR initially acquired a 65% stake in JB Chemicals in 2020 and had partially exited the investment by selling a 5.8% stake in March 2025, fetching ₹1,460 crore through open market deals.
JB Chemicals has built a strong presence in therapeutic segments such as gastroenterology, dermatology, and diabetes. Torrent Pharma, with annual revenues exceeding ₹11,500 crore, is part of the Torrent Group, which has consolidated revenues of ₹45,000 crore.
This acquisition follows other major deals in the Indian pharma space, such as Mankind Pharma’s ₹13,768 crore acquisition of Bharat Serums and Vaccines in 2024, further underlining the sector’s strong consolidation momentum.