Biocon shares gained around 3% on Wednesday after around 1.65 crore shares changed hands in a block deal, worth nearly Rs 638 crore. 

The transaction came after reports that investment firm Active Pine LLP, which is backed by True North, planned to sell up to 1% of its stake in the pharmaceutical company.

Active Pine was expected to sell around 1.66 crore shares at a floor price of Rs 385 per share, putting the potential deal value at about Rs 638 crore. The offer price represented a discount of nearly 2% to Biocon’s market price at the time. Active Pine held 1.08% or 1.76 crore shares in Biocon as of the June quarter, according to shareholding data.

The proposed sale was described by market sources as a possible clean-up trade, rather than a move linked to any change in Biocon’s business outlook. Citi was reportedly handling the transaction. The final buyers and exact transaction details are expected to be reflected in the exchange data following the block deal.

The block deal comes at an important time for Biocon. The company has recently strengthened its international business through a 10-year partnership for Pertuzumab in Brazil. 

Under the agreement, Biocon, Bahiafarma and Bionovis will supply the breast cancer drug through Brazil’s Productive Development Partnership programme, with the consortium receiving 100% allocation for the country’s demand under the programme.

Biocon has also been attracting investor attention after reporting strong quarterly performance. The company remains focused on expanding its biosimilars and pharmaceutical businesses across global markets, while new partnerships could provide additional revenue opportunities.

At 11:43 am, the shares of Biocon were trading 1.10% higher at Rs 396.60 on NSE.

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