Shasun Pharmaceuticals signs joint venture agreement with Sequent

Chennai-based Shasun Pharmaceuticals yesterday signed a joint venture agreement with SeQuent Scientific, Business Line reported.

Under the terms of the agreement, the joint venture company would develop, manufacture and sell veterinary products including both API (active pharmaceutical ingredients) and formulations to cater to the global market. In line with the agreement, the company has also executed a slump sale agreement for transfer of its Visakhapatnam facility to the joint venture company. SeQuent and Shasun would hold 73 per cent and 27 per cent respectively in the joint venture company.

According to the company's communication with the BSE the venture would be expected to be operational in the first quarter of 2014-15.

The transfer is a "slump sale," meaning the transfer had been effected  to SeQuent for a lump sum consideration. Shareholder approval had been taken in January.