Biocon share price slips over 6% after CFO resigns

economictimes.indiatimes.com:

Shares of Biocon fell over 6% to Rs 250.3 in Friday's trade on BSE after the firm said that its chief financial officer (CFO), Indranil Sen has resigned with effect from 15 March 2024.

Indranil Sen has resigned to pursue opportunities outside the organization. He was relieved from his duties by the close of business hours on 14 March 2024, according to the company's regulatory filing.

At 12.35 am, the scrip was trading 5.9% lower at Rs 251 on BSE. The stock has also plunged 23% in the last two years and 37% in the past three years.

Meanwhile, the company also announced that its subsidiary Biocon Biologics' India-branded formulation business was acquired by Eris Lifesciences, a chronic therapy-focused drug firm, for Rs 1,242 crore.

This acquired business includes portfolios in insulin, oncology, and critical care. “Biocon Biologics has signed a 10-year supply agreement with Eris as part of this deal. The transaction is expected to take effect on April 1, 2024, subject to customary closing conditions,” the firm said.

Biocon Biologics’ India branded formulation business has revenue of Rs 360 crore, which represents a valuation of 3.4x of revenues.

Of the Rs 360 crore, two products Basalog and Insugen contribute Rs 100 crore each. Oncology and critical care portfolios contribute 80 crore each. The oncology portfolio includes novel biologic drug nimotuzumab, and biosimilars of trastuzumab and bevacizumab.

The transaction is expected to come into effect before April 15, 2024, subject to customary closing