Strides Pharma to receive US$42mn from Agila deal

Shares of Strides Pharma traded in positive in early trade on Wednesday as the company is set to receive US$42 million from Agila transaction.

Strides Pharma Science is going to receive US$42 million immediately towards the final release of the General Claims Escrow. Pharma major Strides and the US-based Mylan have agreed to settle regulatory and general claims on the Agila transaction.

Strides with its wholly-owned subsidiary, Strides Pharma Asia Pte completed the sale to Mylan Laboratories and Mylan Institutional Inc of Agila Specialties and Agila Specialties Global Pte respectively, pursuant to Sale and Purchase Agreements effective as of February 27, 2013 (SPAs) on December 4, 2013.

Strides Pharma Science is engaged in the development and manufacturing of active pharmaceutical ingredients (APIs) and formulations, as well as biotech. Its business segments include Pharmaceutical and Biotech businesses.

However, despite the news, the stock of Strides has remained stable. The stock opened at Rs. 475 and reached an intraday high of Rs. 487.90 and an intraday low of Rs 465. The shares at 15:22 hours were trading at Rs. 469, down by 0.69 per cent. Meanwhile, the BSE Sensex was at 36,468, up by 0.33 per cent.