Zydus Lifesciences Limited has officially completed its acquisition of the Active Pharmaceutical Ingredient (API) business of Sterling Biotech Limited.

The final transaction was completed for a pre-defined lump-sum consideration of Rs. 84 crore. Executed as a slump sale on a cash-free and debt-free basis, the transaction covers the complete transfer of Sterling Biotech’s API assets without assigning specific values to individual liabilities.

The closure comes after fulfilling all required conditions precedent and closing-date adjustments mandated under the original Business Transfer Agreement (BTA) signed on September 17, 2024. The timeline had previously been extended to allow both parties to fulfill these pre-closing obligations.

Through this acquisition, Zydus absorbs a highly specialized portfolio of fermentation-based APIs. The product suite includes Lovastatin, a widely prescribed cholesterol-lowering medication and critical active ingredients including Daunorubicin, Doxorubicin, and Epirubicin.

The deal brings a primary API manufacturing facility located in Masar village, near Vadodara in Gujarat, under Zydus' operational fold. The site’s geographical proximity to Zydus' existing manufacturing facility in Dabhasa is expected to yield immediate operational synergies.

This acquisition follows Zydus' August 2024 investment where it bought a 50% stake in Sterling Biotech to establish a joint venture. By exercising its negotiated right to directly absorb the API arm, Zydus secures an internal raw material supply chain and expands its fermentation capabilities.