Lupin Inks Share Subscription Agreement With Sunsure Solar Park To Acquire Upto 42.61%

Lupin Ltd. signed a share subscription & shareholders agreement with Sunsure Solarpark Seventeen Pvt. and Sunsure Energy Pvt. to acquire equity investment up to 42.61% of equity share capital of Sunsure Solarpark, according to an exchange filing from the company on Thursday. The acquisition will take place for a total consideration of Rs 10.5 crore.

The deal is to be completed in two tranches. Lupin has completed the acquisition on Thursday.

This move came after Lupin announced that it got tentative approval from the US Food and Drug Administration for its drug for cystic fibrosis treatment known as Ivacaftor oral granules. The product will be manufactured at its Nagpur facility.

The company said it was the first to file for the product and will get 180 days of generic drug exclusivity.

Ivacaftor oral granules will be in the strengths of 25 milligrams, 50 mg, and 75 mg per unit dose packet. They are used to treat cystic fibrosis in patients aged four months and older who have at least one mutation in the 'CFTR' gene that responds to Ivacaftor.

Cystic fibrosis is a genetic disease that causes the body to produce thick mucus, often leading to lung infections.

Shares of Lupin Ltd. fell as much as 1.09% during the day to Rs 1,102 apiece on the National Stock Exchange. It closed 0.73% lower at Rs 1,106.10 per share, compared to a 0.27% advance in the benchmark Nifty. The share price has risen 15.91% on a year-to-date basis.

Twenty out of the 37 analysts tracking the company have a 'buy' rating on the stock and ten suggest 'hold,' and seven recommend a 'sell,' according to Bloomberg data. The average of 12-month analysts' price targets implies a potential upside of 1.1%.