Ahmedabad-headquartered Torrent Pharmaceuticals has approached the Competition Commission of India (CCI) to seek approval for its proposed INR19,500 crore acquisition of a majority stake in JB Chemicals & Pharmaceuticals. The move will pave the way for Torrent to become India’s second most valued pharmaceutical company.

According to the filing, the transaction involves acquisition of shares in JB Chemicals, followed by the amalgamation of the target company with Torrent Pharmaceuticals.

Torrent Pharmaceuticals, the flagship firm of the Torrent Group, is involved in the manufacture and sale of finished dosage formulations (FDFs) across a wide range of therapeutic areas.

JB Chemicals, meanwhile, is engaged in the manufacture and marketing of FDFs and Active Pharmaceutical Ingredients (APIs), and also provides Contract Development and Manufacturing Organisation (CDMO) services.

Both companies acknowledged the presence of horizontal overlaps in certain relevant markets in India for the manufacturing and sale of FDFs.