Zydus Lifesciences to buy 50 percent stake in Sterling Biotech from Perfect Day
The acquisition will mark Zydus' foray into specialised biotech products for health and nutrition.
Ahmedabad: Zydus Lifesciences Limited through its wholly owned subsidiary, and Perfect Day Inc., a Temasek portfolio company have signed an agreement wherein Perfect Day will sell its ~50% shareholding in Sterling Biotech Limited.
Post this transaction, Sterling Biotech will become a 50:50 Joint Venture (“JV”) with equal representation on the Board. The JV will establish a state-of-the-art manufacturing facility to manufacture fermented animal free protein to cater to the global markets. The JV will accelerate the production of high-quality and ecofriendly protein products, reduce environmental impact, and cater to the growing consumer demand for fermentation-based and ethically sourced nutrition.
As per the release, the acquisition will mark Zydus’ foray into specialised biotech products for health and nutrition, specifically catering to consumers who prefer animal-free protein or suffer from lactose intolerance.
Perfect Day’s precision-fermented protein is found in ice creams, cream cheese, sports nutrition products, and baked goods with high functionality benefits and lower environmental impact.
"This transaction between Perfect Day and Zydus underlines the importance of the emerging global markets for environmentally friendly and sustainable products. Perfect Day will significantly enhance its technological capabilities in India as part of its emerging market growth strategy, while Zydus will continue to leverage its strong manufacturing and commercial expertise. Through this manufacturing partnership both the parties reaffirm their commitment of making India a bright spot in global supply chain," the release stated.
SBL is currently engaged in manufacturing and selling of fermentation-based API products and gelatine. With a clear vision of focussing on animal-free protein products the JV partners will also take a strategic view on API and gelatine business.
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