Biocon Biologics, a unit of drugmaker Biocon Ltd, said late on Thursday it would offer a stake of about 15% to Serum Institute Life Sciences for access to 100 million doses of vaccines annually for 15 years, including COVID-19 shots.
The deal with the unit of Serum Institute of India (SII), the world's largest vaccine maker, will value Biocon Biologics at about $4.9 billion after deal close, Biocon said.
As part of the deal, Biocon Biologics and Serum Institute Life Sciences will make and distribute vaccines and antibodies. SII Chief Executive Officer Adar Poonawalla will also get a seat on the board of Biocon Biologics.
Biocon Ltd's shares rose as much as 4.6% to 394.15 rupees on Friday.
Serum Institute did not provide any additional details on the deal when contacted by Reuters, while Biocon did not immediately respond to a request for comment. Both the companies are scheduled to hold a press briefing later in the day.
Biocon Biologics partnered with U.S. based Adagio Therapeutics in July to make and commercialise COVID-19 antibody treatments for India and some emerging markets.