KKR has agreed to sell its controlling stake in JB Chemicals & Pharmaceuticals to India’s Torrent Pharmaceuticals for $1.4bn, marking one of the largest private equity exits in the country’s booming M&A landscape.

Torrent will acquire 46.4% of JB Pharma at ₹1,600 per share and has announced a mandatory open offer for up to 26% of the company at ₹1,639 per share. In addition, Torrent plans to purchase a further 2.8% from select employees at the same price, with both parties aiming to complete a full merger under a scheme of arrangement.

KKR originally acquired its majority interest in JB Pharma in 2020 from the founding Mody family, alongside an open offer. According to a source close to the matter, the exit delivers a return of over fivefold for the firm, demonstrating the value creation achieved over its four-year holding period.

The transaction comes amid a broader resurgence in Indian dealmaking, with both equity capital markets and M&A volumes seeing a sharp rise as global investors increasingly target the region’s growth story.

JB Pharma, which currently has a market valuation of around $3.3bn, has seen its stock decline 2.3% year-to-date. Torrent, which is valued at $13.2bn, has traded relatively flat over the same period.

Source: Business Times

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