Morepen Laboratories’ stock gained more than 4% in early trade after the company announced a new strategic partnership in the medical devices space. Its subsidiary, Morepen Medipath Limited (formerly known as Morepen Medtech Limited), has signed a joint venture agreement with UAE-based Bimedical FZE to form a new joint venture company (JVC) in India.
According to the agreement, Morepen Medipath and Bimedical FZE will hold an equal 50% stake in the upcoming venture. With this structure, Morepen Laboratories will indirectly own 30% of the JVC through its subsidiary. The proposed company will focus on manufacturing, trading, and sales of innovative healthcare and medical devices, strengthening Morepen’s presence in a high-growth segment.
Both partners will invest in the JVC through cash contributions, with equal participation in the share capital. The company said the move is in line with its long-term strategy to expand in the fast-growing medical devices industry, which is witnessing rising demand both in India and in international markets.
The new joint venture will be incorporated in India, and its official name and incorporation date will be announced later. Morepen clarified that while the JVC will be a related party, the promoter group has no direct interest, apart from their role as members of Morepen Medipath. The company also confirmed that no government or regulatory approvals are required, and the transaction is being executed on an arm’s-length basis.
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