Following the JB acquisition, Torrent commands over 90% market share in the nifedipine market prompting CCI to suggest remedial action.
Ahmedabad-based Torrent Pharmaceuticals is planning to sell its Calcigard brand to fulfil the assurance it had given to secure regulatory approval for its acquisition of JB Chemicals, sources told Moneycontrol. The move follows market monopoly concerns expressed by the Competition Commission of India (CCI), sources told Moneycontrol.
Torrent, which in June 2025 announced its takeover of JB Chemicals, completed the acquisition by picking a 46.39 percent controlling stake for Rs 12,000 crore, pending regulatory approvals.
Following this acquisition, Torrent would have commanded over 90 percent market share of nifedipine in India and CCI is of the view that such high concentration of market share may have an adverse impact on market players as well as customers.
Nifedipine is a calcium channel blocker used to treat high blood pressure and angina. Calcigard is the brand name for nifedipine owned and manufactured by Torrent. JB Chemicals also has a strong presence in the cardiac segment with its own brand Nicardia.
For instance, if the prices of nifedipine were increased significantly by Torrent, the consumer may have no option but to buy the drug at higher price due to lack of availability of significant alternative brands, said people cited above.
To address these anti-trust concerns, Torrent will sell Calcigard to a third party in the coming months. This divestment of Calcigard brand in a time-bound manner was a pre-condition for securing CCI approval from the Torrent-JB deal.
“Torrent had argued there was no brand distinction or loyalty in the Nifedipine market and if some other company started manufacturing the same, there is no entry barrier into the market,”
said a person cited above.
“However, CCI pointed out both Torrent and JB’s current nifedipine products are sold at 110-115 percent higher price than Zeelab’s nifedipine which is the third-largest seller. CCI felt such high concentration of market shares could put consumers at disadvantage since Torrent would have significant power in setting prices of nifedipine.”
Torrent Pharma didn't respond to Moneycontrol's queries on its plan to sell Calcigard.
Torrent told CCI that nifedipine was not a unique drug and the brand name didn’t matter in the market. Nifedipine formulations were now available in the form of generic drugs and hence there was sufficient competition in the market for Torrent in the segment.
Torrent also told CCI that any company with a basic pharma licence in India can start manufacturing the drug.
CCI, however, was of the view that even though Torrent’s nifedipine tablets cost 110 percent more than others, people were still largely buying its formulation, indicating brand loyalty. CCI’s stance forced Torrent to make concessions to the deal structure to address competition concerns.
Source: Moneycontrol.com
