Sun Pharma to Acquire 16.7% Stake in Lyndra Therapeutics for $30 Mn

This strategic investment seeks to support the development of advanced pharmaceutical delivery technologies and get access to the technology for certain molecules and territories. Reportedly, the stake acquisition is expected to be completed by the end of December 2023.

Pharma major Sun Pharmaceutical has entered into an agreement to acquire 16.7% stake in the US-based Lyndra Therapeutics for $30 million. Lyndra Therapeutics Inc. develops novel delivery technology for long-acting oral (LAO) therapies.

This strategic investment seeks to support the development of advanced pharmaceutical delivery technologies and get access to the technology for certain molecules and territories. Reportedly, the stake acquisition is expected to be completed by the end of December 2023.

"This is to inform you that Sun Pharmaceutical Industries Limited (which includes its subsidiaries or associate companies), has entered into agreement to acquire stake of 16.7% shares on a fully diluted basis, in Lyndra Therapeutics," the company said in an exchange filing.

Sun Pharma's consolidated net profit rose in the second quarter (Q2) of FY 2023-24. Its net profit came in at INR 2,376 Cr , up 5.04% from INR 2,262 Cr in the year-ago period. The firm's revenue from operations stood at INR 12,192 Cr in Q2 FY24, an 11.32 % (year-on-year) rise from INR 10,952 Cr in the corresponding period last year.

Incorporated in 2015 by Robert Langer, Giovanni Traverso, Andrew Bellinger, Amy Schulman, and Colin R. Gardner, Lyndra Therapeutics is a biotechnology company that specialises in long-acting oral therapies.

It aims to reinvent medicine for a healthier world by developing, expanding and commercialising its proprietary LYNX™ drug delivery platform that can deliver medicine for a week or longer in an oral form. The company has reported $25.6 million in revenue in 2020, $13.1 million in 2021, and $10.7 million in 2022.

Sun Pharmaceutical Industries Limited, also known as Sun Pharma, on the other hand was founded in 1983. The Indian multinational pharmaceutical company manufactures and sells pharmaceutical formulations and active pharmaceutical ingredients (APIs) in more than 100 countries across the globe.

Further, it aims to promote excellence through strategic innovation, which is supported by strong R&D capabilities that include about 2,000 scientists and R&D spending of more than 7-8% of annual revenues.

In September this year, Sun Pharma inked an agreement with US-based Pharmazz on cerebral ischemic stroke drug Soveteltide under the brand name Tyvalzi. With this initiative, the Mumbai-based Indian multinational pharmaceutical company aims to provide high-quality, affordable medicines trusted by healthcare professionals and patients.

As of 11:20 AM on 20th December 2023, Sun Pharma’s shares stood at INR 1,241.60 per share, reflecting a 0.29% fall.