SBI Mutual Fund has made a substantial investment in biocon Ltd, increasing its shareholding to 7.0379% through the acquisition of over 3.34 crore shares on January 16, 2026. The transaction represents a significant vote of confidence from one of India's leading mutual fund houses in the biotechnology major.

Shareholding Enhancement Details

The mutual fund's latest acquisition involved purchasing 3,34,70,117 shares, representing 2.2191% of Biocon's paid-up share capital. This strategic move increased SBI Mutual Fund's total holding from 8,06,08,009 shares (5.3445%) to 11,40,78,126 shares (7.0379%).

Transaction Structure and Methodology

The share acquisition was executed through a combination of qualified institutional placement and market purchases. SBI Mutual Fund conducted these transactions under its various schemes, demonstrating a diversified approach to the investment. The acquisition was completed as of the close of business hours on January 16, 2026.

Regulatory Compliance Framework

The substantial acquisition triggered mandatory disclosure requirements under Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. SBI Mutual Fund's previous disclosure was made on November 12, 2025, when its holding stood at 5.0013% of the paid-up share capital.

Company Capital Structure Impact

Biocon's equity share capital structure shows significant growth, with the total equity capital increasing from ₹754.12 crores to ₹810.45 crores. The company's share capital consists of equity shares with a face value of ₹5 each, and the total number of equity shares outstanding increased from 1,50,82,43,188 to 1,62,09,07,773.

Market and Exchange Information

Biocon Ltd shares are listed on both BSE Ltd and the National Stock Exchange of India Ltd. The formal disclosure was communicated to both exchanges as part of the regulatory compliance process. SBI Mutual Fund, operating under SBI Funds Management Limited, completed all necessary documentation through its Chief Compliance Officer and Company Secretary, Vinaya Datar.

This strategic investment by SBI Mutual Fund underscores institutional interest in Biocon's biotechnology and pharmaceutical operations, reflecting confidence in the company's market position and growth potential within the healthcare sector.

Biocon Limited has successfully concluded its Qualified Institutions Placement (QIP), raising ₹4,150.00 crores through strong institutional investor participation. The biopharmaceutical company issued 112,664,585 equity shares at ₹368.35 per share, representing a 2.80% discount to the previous day's closing price of ₹378.90.

QIP Transaction Details

The fundraising exercise demonstrated robust market confidence in Biocon's growth prospects, with the company witnessing participation from a diverse investor base across multiple categories. The issue price included a premium of ₹363.35 per share over the face value of ₹5.00.

Major Fund Allocation Breakdown

The QIP attracted significant interest from leading domestic mutual funds, with three major fund houses securing nearly two-thirds of the total allocation. The allocation pattern reflects strong institutional confidence in Biocon's strategic direction.

Updated Share Capital Structure

Following the completion of the QIP, Biocon's capital structure has been significantly enhanced. The company's total paid-up equity share capital has increased substantially, reflecting the successful fundraising initiative.

Strategic Use of Proceeds

The net proceeds from the QIP will be utilized for specific strategic objectives aimed at consolidating Biocon's biologics business. The primary use involves payment of cash consideration to Mylan Inc. (Viatris) for acquiring their shareholding in Biocon Biologics Limited, with the company planning to pay $400.00 million as part of this acquisition.

Biocon Biologics Integration Strategy

This fundraise supports Biocon's strategic corporate action to acquire all remaining minority shareholdings in Biocon Biologics Limited, making it a wholly owned subsidiary. The company intends to make Biocon Biologics a 100% subsidiary by issuing shares to its existing shareholders, marking a pivotal step in consolidating its biologics operations. The integration will strengthen Biocon's position in therapeutic areas of diabetes, oncology, and immunology through a differentiated portfolio of biosimilars, insulins, generics and peptides including GLP-1s.