JB Chemicals & Pharmaceuticals (JBCP) has entered into a two-pronged, ₹1,089-crore transaction with multinational Novartis for select ophthalmology brands, a deal that marks JB’s entry into the segment.

As part of a Trade Mark License Agreement with Novartis Innovative Therapies AG, JBCP will fork out $116 million (about ₹964 crore) for access to select ophthalmology brands. The transaction will be effective January 2027.

Second deal

In another transaction, JBCP has also approved the promotion and distribution agreement with Novartis Healthcare Private Ltd for the same portfolio of select ophthalmology brands for the Indian market for a period of three years starting December 2023. The Mumbai-based company would fork out ₹125 crore to Novartis Healthcare Private Ltd for this transaction.

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JBCP also said it would “offer employment” to the impacted associates working on these ophthalmology brands, without sharing details. According to industry estimates, the turnover of these brands was estimated at ₹207.8 crore.

“Ophthalmology is one of the fastest-growing therapies in the Indian Pharma market and this deal will catapult JB Pharma to among the leading players in the ophthalmology segment,” the company said, explaining the rationale behind the deal. Ophthalmology as a segment had potential, it said, and major players registered 10 per cent growth. Outlining “structural tailwinds”, the company said, higher cataract surgeries were being driven by increased infrastructure and rising affordability, growth of 50-plus population and significant under-penetration.