Strides Pharma Science on Friday said its board has approved an additional investment of up to USD 40 million (about Rs 280 crore) over the next two years in Stelis Biopharma in a bid to take a controlling stake in the firm.
Bengaluru-based Strides has already invested USD 35 million (about Rs 245 crore) for a 43 per cent ownership in Stelis.
The company's board has approved an additional investment up to a maximum of USD 40 million over a period of 24 months for a controlling stake in Stelis, Strides Pharma Science said in a statement.
"The proposed new investments will be a primary infusion into Stelis which will enable it to achieve its objective of becoming a compelling global player in the biopharmaceutical space and also accelerate Strides' re-entry into sterile injectables business," it added.
"With the infusion of up to USD 40 million by Strides and pending equity commitments from other partners, Stelis would have attained a critical size to break even at the operational level which is expected in the next 18 months," the company said.
Besides Strides, the other principal shareholders of Stelis are Tenshi Life Sciences and GMS Holdings.
Stelis has a research facility in Bengaluru and its current portfolio includes biosimilars produced from microbial production technology.
Strides Pharma Science shares on Friday ended 0.18 per cent higher at Rs 360 apiece on the BSE.
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