Biocon share price jumped over 4% to a fresh 52-week high on Thursday after reports stated that the company was evaluating an internal merger of its biosimilars arm, Biocon Biologics, with the parent entity. Biocon shares rallied as much as 4.01% to a new high of ₹422.65 apiece on the BSE.
According to a report by The Economic Times, Biocon is in advanced discussions to restructure its wholly owned subsidiary Biocon Biologics, and is reviewing an initial public offering (IPO) and share swap with minority investors.
The move is part of the company’s broader efforts to unlock shareholder value and reduce acquisition-related debt. Earlier, ET reported that the Bicon was exploring multiple strategic options, including a share swap, an IPO, or a combination of cash and share swap mechanisms.
The potential merger values Biocon Biologics at around $4.5 billion. As of March 31, Biocon holds a 90.2% stake in the biosimilars unit, while Serum Institute of Life Sciences is the largest external shareholder with a 5.97% stake.
Biocon Q2 Results 2025
Biocon reported a consolidated net profit of ₹84.5 crore during the second quarter of FY26 as compared with a net loss of ₹16 crore in the same quarter last fiscal year, driven by growth in Biosimilars, improved momentum in Generics, and a steady contribution from the CRDMO segment.
The company’s consolidated revenue from operations in Q2FY26 grew 19.6% to ₹4,295.5 crore from ₹3,590.4 crore, year-on-year (YoY).
The company’s EBITDA during the September quarter increased 29% to ₹928 crore, while EBITDA margin was at 21%.
Biocon Biologics delivered a strong performance in Q2FY26, achieving 25% YoY revenue growth and an over 40% increase in EBITDA.
“Sequentially, revenues grew 11%, driven by market share expansion in key therapy areas and successful new product launches. In the US, we continue to expand access to biosimilars by leveraging the strength of our commercial platform. In FY26, we launched four biosimilars across key global markets and remain on track for the bDenosumab launch,” said Shreehas Tambe, CEO & Managing Director, Biocon Biologics.
The Generics business grew 24% Q2 driven primarily by an uptick in recently launched products in the US and EU, as well as growth in the generic formulations base business, and the API business.
Biocon Share Price Outlook
In light of Biocon’s robust momentum in Biosimilars, improving profitability in Generics, and a strengthened balance sheet post the ₹4,500 crore debt reduction, Axis Securities maintains a ‘Buy’ rating on the stock.
“The company’s strong portfolio — including bAspart, bDenosumab, GLP1, and additional insulin partnerships under the CalRx initiative — is expected to drive sustained revenue growth and margin expansion over FY26–27. We value Biocon on a SOTP basis, assigning higher valuation multiples to the Biosimilars segment in view of its strong global traction,” said the brokerage firm.
Axis Securities has Biocon share price target of ₹448 per share.
Biocon share price has rallied over 20% in one month and has gained 17% in three months. The stock has surged 28% in six months, and has risen 14% on a year-to-date (YTD) basis. Biocon shares have jumped 85% in the past two years and have delivered 50% returns in three years.
At 12:20 PM, Biocon share price was trading 3.83% higher at ₹421.90 apiece on the BSE.
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