Bilcare signs $61 mn deal with United Drug, stock up 16%

NEW DELHI: Bilcare surged nearly 20 per cent in trade on Tuesday after the company signed a definitive agreement with United Drug Plc for the sale of its global clinical supplies ( GCS) businesses in the US and the UK for $61 million (approx Rs 340 crore).

At 10:50 am, Bilcare was trading 16 per cent higher at Rs 170.70. It has hit a high of Rs 174.90 and a low of Rs 157.00 today.

"As per the agreement, United Drug will also retain its Global Clinical Supplies (GCS) business in Asia. Going forward, Bilcare GCS Asia and United Drug will work together to use their complementary resources to meet the needs of their global customers across the US, Europe and Asia," Bilcare said in a filing to the BSE.

"The agreement is a win-win for Bilcare GCS's customers and United Drug. It will allow Bilcare GCS Asia to leverage United Drug’s deep capabilities and resources in the US and Europe," it added.