Viatris Announces Agreement to Monetize its Equity Stake in Biocon Biologics Limited

Core Viewpoint - Viatris Inc. has entered into definitive agreements with Biocon Limited for the sale of its equity stake in Biocon Biologics, valued at $815 million, which includes $400 million in cash and $415 million in equity shares of Biocon [1][2] Group 1: Transaction Details - Biocon will acquire all of Viatris' convertible preferred equity in Biocon Biologics for a total consideration of $815 million [1][2] - The transaction consists of $400 million in cash and $415 million in newly issued equity shares of Biocon, which will be listed on the National Stock Exchange of India [2] - The shares are subject to a six-month lock-up period, and the transaction value will be subject to related taxes [2] Group 2: Strategic Implications - This agreement allows Viatris to monetize its equity stake in Biocon Biologics and regain access to the global biosimilars market, providing significant additional optionality for future growth [2] - The transaction accelerates the expiration of biosimilars non-compete restrictions previously placed on Viatris in 2022, which will expire immediately for all ex-U.S. markets and in November 2026 for U.S. markets [2] Group 3: Timeline and Advisors - The transaction is expected to close in Q1 2026, subject to the satisfaction of closing conditions [2] - Citi is acting as the financial advisor, while Cravath, Swaine & Moore LLP and Khaitan & Co. are serving as legal advisors to Viatris [3]