Private equity firm Ascent Capital has picked up minority stake in Alivira Animal Health Ltd, which develops, manufactures and sells veterinary products, including active pharmaceutical ingredients (API) and formulations in the global market.
Alivira is a joint venture between Bangalore-based integrated pharma player SeQuent Scientific Ltd and Chennai-based Shasun Pharmaceuticals Ltd.
Earlier, SeQuent informed stock exchange that Alivira has allotted equity shares to Shasun Pharma.
"Alivira Animal Health has allotted 74 lakh equity shares to Shasun Pharmaceuticals in consideration for the transfer of Shasun's Vizag unit," Shasun said in a stock filing.
The company said it has also allotted shares to an entity jointly owned by the two JV partners.
"Alivira has also allotted 21.14 lakh shares to Devicam Capital LLP, an enterprise jointly owned by the promoters of Shasun Pharmaceuticals and SeQuent Scientific, for cash," it added.
The two companies signed a letter of intent in March to form the joint venture. According to the agreement, SeQuent will own 73 per cent of the joint venture company, while Shasun will hold 27 per cent.
This comes in wake of SeQuent selling its specialty chemical division to South Korea-based supplier of antioxidants for plastics for an undisclosed amount.
Ascent Capital, which has around $600 million under management, invests in segments like automobile, biotechnology, manufacturing, pharma, retail, technology, IT and telecom.
The companies that Ascent has invested in include Skanray Technologies, Ratnakar Bank, iNurture Education Solutions and Kerala Institute of Medical Sciences.
(Edited by Joby Puthuparampil Johnson)