Amneal Pharmaceuticals paid $1.1 billion to buy Kashiv BioSciences: $375 million cash, $375 million in equity, and up to $350 million in milestones. There’s a wrinkle: Amneal’s co-CEOs, brothers Chirag and Chintu Patel, directly or indirectly own half of Kashiv.
The deal gets Amneal four manufacturing facilities: a fill-finish plant in Chicago making Fylnetra and Releuko, a New Jersey monoclonal antibody and fusion protein site at 6,000 liters of capacity, and two plants in India. Amneal plans to expand the New Jersey facility to 24,000 liters and commit to 50,000 liters at one Indian plant, scaling total drug substance capacity from 26,000 liters in 2026 to 75,000 by 2028. That buildout costs $30 million to $50 million a year.
The lead asset is a Xolair biosimilar, worth $4.6 billion of a $14 billion addressable market across six biosimilars that could launch by next year. Beyond that, Amneal’s pipeline targets another $42 billion from 2028 to 2030, anchored by a Keytruda biosimilar chasing an almost $20 billion market and a Trulicity copy worth almost $10 billion.
Amneal has cleared five biosimilars in three years and wants three to five launches per year. The infrastructure is designed to scale beyond 75,000 liters: Chirag Patel said the facilities can absorb another 25,000 liters as needed.
The related-party structure is the deal’s central question. The Patel brothers run Amneal and own half of Kashiv. That means the board approved buying a company from sellers who include its own co-CEOs.
Diana Kowalski