Natco Pharma announced its decision to increase the proposed investment in the American biotechnology firm eGenesis Inc. The total investment amount will be $16.70 million (equivalent to approximately 139 crore Indian rupees), which is higher than the previously stated amount of $14 million.
According to the updated deal structure, Natco Pharma (Canada) Inc will contribute $13.70 million, and Natco Pharma USA LLC will provide $3 million. This information was disclosed in regulatory filings.
The deal involves a cash payment for the acquisition of convertible notes with an 8 percent annual interest rate. No additional shares will be acquired at the time of closing, and the expected closing date is October 31.
Previously, in 2024, Natco had already invested $8 million in eGenesis through Natco Pharma (Canada) Inc. After the planned transaction is completed, the drug manufacturer's total investment in eGenesis will increase to $24.70 million.
The company indicated that this increase in investment is aimed at supporting new therapeutic programs that address critical unmet medical needs.