{"id":840864,"date":"2025-10-24T09:01:31","date_gmt":"2025-10-24T07:01:31","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=840864"},"modified":"2025-10-24T14:35:56","modified_gmt":"2025-10-24T12:35:56","slug":"indian-company-buys-r4-billion-chunk-of-south-african-pharmaceutical-giant","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/840864\/indian-company-buys-r4-billion-chunk-of-south-african-pharmaceutical-giant\/","title":{"rendered":"Indian company buys R4 billion chunk of South African pharmaceutical giant"},"content":{"rendered":"\n

India-based Natco Pharma will soon acquire a large stake in Adcock Ingram, with the pharmaceutical company delisting from the JSE. <\/p>\n\n\n\n

Natco Pharma specialises in research, development, manufacturing, and marketing pharmaceutical products. The company has a market cap of around R30 billion. <\/p>\n\n\n\n

In July, the company offered R75 per share to buy out Adcock Ingram\u2019s minority shareholders, with the local brands including Panado, Allergex, and Myprodol. <\/p>\n\n\n\n

Anchor Capital Equity Analyst Sean Culverwell <\/a>broke down the offer when it was announced, stating that it was a strong way to end Adcock\u2019s long spell in \u201cminority purgatory.\u201d<\/p>\n\n\n\n

Bidvest took control of Adcock Ingram in 2019 via a roughly 65% stake, but this saw the company\u2019s free float diminishing and liquidity drying up, meaning that the delisting felt inevitable. <\/p>\n\n\n\n

\u201cIf the offer is accepted, Natco will hold a 35.75% stake in Adcock Ingram, valued at roughly R4 billion, and it will be delisted from the JSE,\u201d said Culverwell. <\/p>\n\n\n\n

Bidvest has signalled that it is prioritising capital to scale its offshore services platform, with Bidcorp potentially being unbundled from the group. <\/p>\n\n\n\n

\u201cAgainst that backdrop, Natco\u2019s move and Bidvest\u2019s choice to hold both make sense to us,\u201d Culverwell added. <\/p>\n\n\n\n

\u201cBidvest\u2019s 64% stake is excluded from the deal, and retaining it is a strategically sound move.\u201d<\/p>\n\n\n\n

\u201cThis decision underscores Bidvest\u2019s confidence in Adcock\u2019s defensive earnings and domestic diversification, which still suit Bidvest\u2019s local portfolio.\u201d <\/p>\n\n\n\n

After receiving approval from shareholders in September, Adcock Ingram has now announced that the offer had become unconditional.\u00a0<\/p>\n\n\n\n

Consequently, Adcock Ingram will proceed with the implementation of the sale, with shareholders having until 4 November 2025 to participate in the offer.\u00a0<\/p>\n\n\n\n

Adcock Ingram\u2019s shares on the JSE will cease to be traded on the JSE from 10 November 2025. The share currently trades at R73.90 per share, buoyed by the offer. <\/p>\n\n\n

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Adcock Ingram Share Price<\/figcaption><\/figure><\/div>\n\n\n
\n","protected":false},"excerpt":{"rendered":"

India-based Natco Pharma will soon acquire a large stake in Adcock Ingram, with the pharmaceutical company delisting from the JSE.\u00a0<\/p>\n","protected":false},"author":95,"featured_media":839558,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[13311,11827,23784],"class_list":["post-840864","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-adcock-ingram","tag-anchor-capital","tag-natco-pharma"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/840864","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=840864"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/840864\/revisions"}],"predecessor-version":[{"id":840944,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/840864\/revisions\/840944"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/839558"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=840864"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=840864"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=840864"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}