Zydus and Dr Reddy’s Partner to Expand Access to Critical Breast Cancer Treatment in India

Rane Holdings Ltd has announced a significant move towards acquiring the remaining 51% equity stake in Rane NSK Steering Systems Private Limited (RNSS) from its joint venture partner, NSK Ltd, Japan. This decision, approved by the Board of Directors on July 1, 2024, marks a strategic consolidation within the auto component industry.

RNSS is currently a joint venture involved in the manufacturing of steering columns. The company reported a turnover of ₹1,718.73 crore in 2024, ₹1,510.34 crore in 2023 and ₹1,432.24 crore in 2022.

The primary objective of this acquisition is to bring RNSS under full ownership as a wholly-owned subsidiary of Rane Holdings Ltd. This move is expected to streamline operations, enhance decision-making agility, and strengthen the company’s position in the competitive auto component market. The acquisition process, anticipated to be completed by September 30, 2024, is contingent upon regulatory approvals and customary closing conditions.

In financial terms, Rane Holdings Ltd. will pay ₹45 crore in cash to NSK Ltd for the acquisition of 91,29,000 equity shares of RNSS, each valued at ₹10. This transaction underscores Rane Holdings Ltd.’s commitment to expanding its market presence and leveraging synergies within its portfolio.

Upon completion, Rane Holdings Ltd will effectively control 100% of RNSS, aligning its operational strategies more closely with its overall corporate objectives. This acquisition is poised to strengthen Rane Holdings Ltd’s market position and enhance its ability to cater to evolving customer demands in the auto component sector.

Commenting on the acquisition, the Chairman of Rane Group, Mr Harish Lakshman, said, “We deeply value the relationship with NSK over the past two and half decades which helped us to create a strong position in the Indian automotive steering market. This acquisition further expands our group’s expertise in the steering systems.”

About Rane Holdings Limited

Established in 1929, Rane Holdings Limited (RHL) is based in Chennai, India, serving as the flagship holding company of the Rane Group and holds its trademark.

On July 1, 2024, the share price of Rane Holdings Ltd opened at ₹1,355.95, touching the day’s high at ₹1,605.00, as of 12:52 PM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the in

Zydus Lifesciences Limited (Zydus), a leading global life sciences company, and Dr Reddy’s Laboratories Ltd (Dr Reddy’s), a renowned global pharmaceutical company, announced a collaboration to bring a biosimilar version of Pertuzumab to the Indian market.

A Critical Treatment for HER2-Positive Breast Cancer

Pertuzumab is a crucial treatment for patients diagnosed with HER2-positive breast cancer. This aggressive form of breast cancer is characterised by the presence of high levels of the HER2 protein, which fuels cancer cell growth and spread.

Making Treatment Accessible

Developed by Zydus’ research team, this biosimilar offers a more affordable alternative to the original Pertuzumab drug. The agreement grants Dr Reddy’s semi-exclusive rights to co-market the biosimilar in India under the brand name Womab®. Zydus will market it under Sigrima™. This collaboration aims to increase access to this life-saving treatment for Indian patients significantly.

Improved Patient Outcomes

Pertuzumab, when used in combination with other drugs like trastuzumab and chemotherapy, can significantly improve patient outcomes. Benefits include shrinking tumours, reducing the need for extensive surgery, preserving breast tissue, delaying recurrence, and extending lifespan. Currently, less than 5% of HER2-positive patients in India have access to this critical combination therapy.

Significance of the Partnership

This collaboration between Zydus and Dr. Reddy holds immense promise for improving the lives of breast cancer patients in India. By making Pertuzumab more accessible and affordable, this partnership empowers more women to fight this disease effectively.

Commenting on the development, a spokesperson from Zydus Lifesciences Ltd, said, “Our basket of cancer care therapies, which includes cytotoxic, supportive and targeted drugs, has had a significant impact on patient survival and the quality of life. We are committed to providing comprehensive care for HER2-positive patients, and with the launch of this critical drug, we will be offering all three essential drugs, SigrimaTM, Pertuzumab, biosimilar, VivitraTM, the largest selling trastuzumab biosimilar and UjviraTM the world’s first antibody-drug conjugate biosimilar of trastuzumab emtansine. Together, these treatments represent a significant advancement in HER2-targeted therapy. We are pleased to join hands with Dr. Reddy’s to expand access to this novel medicine.”

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.