Aurobindo Pharma has announced plans to increase its shareholding in its China-based joint venture, Luoxin Aurovitas Pharma (Chengdu), by 20 percent through a cash investment of USD 5.12 million.

The acquisition will be carried out by Helix Healthcare B.V., a wholly owned subsidiary of Aurobindo Pharma, under an agreement with joint venture partner Shandong Luoxin Pharmaceutical Group. With this transaction, Aurobindo’s stake in the joint venture will rise from 30 percent to 50 percent.

Luoxin Aurovitas Pharma was incorporated in 2019 with an initial ownership structure of 30 percent held by Aurobindo and 70 percent by Shandong Luoxin. The company is engaged in the manufacture of inhalation products for the Chinese market. The increased ownership is expected to support capacity expansion, improve operational efficiencies and address growing market demand.

Aurobindo Pharma also has the option to acquire the remaining 50 percent stake in the joint venture by December 2029 at a pre-agreed consideration of USD 18.86 million, subject to applicable conditions.