FIPB refers Gland Pharma proposal to CCEA for approval

Inter-ministerial body FIPB has recommended the Rs 4,315-crore foreign investment proposal of Gland Pharma to the Cabinet Committee on Economic Affairs (CCEA) for approval.

Gland Pharma, a brownfield pharmaceutical Indian company, is seeking approval for its initial acquisition of up to 86.08 per cent by Shanghai Fosun Pharmaceutical (Group) Company, a public-listed company incorporated in China, the ministry said in a release. The Chinese firm seeks to acquire stake in Gland Pharma through its subsidiaries outside India namely Fosun Pharma Industrial, Fosun Industrial Co, Ample Up, Lustrous Star and Regal Gesture. "Subsequently, Fosun also has the contractual right to acquire 100 per cent shares of Gland Pharma from other shareholders of the company in one or more tranches," it added. The proposal of Gland Pharma has been recommended for approval of Cabinet Committee on Economic Affairs (CCEA), the ministry said. The proposal entails FDI worth Rs 4,315 crore.