Biocon Limited

Kiran Mazumdar

Shaw – Executive Chairperson, Biocon Limited

Siddharth Mittal

CEO & Managing Director, Biocon Limited

Arun Chandavarkar

Managing Director, Biocon Biologics Limited

Indranil Sen

Chief Financial Officer, Biocon Limited

Shreehas Tambe

Deputy Chief Executive Officer, Biocon Biologics Limited

M.B. Chinappa

Chief Financial Officer, Biocon Biologics Limited

Susheel Umesh

Chief Commercial Officer – Emerging Markets, Biocon Biologics Limited

Matthew Erick

Chief Commercial Officer – Advanced Markets, Biocon Biologics Limited

Paul Thomas

Chief Commercial Officer-US, Biocon Biologics Limited

Abhijit Zutshi

Commercial Head - Global Generics, Biocon Limited

Nehal Vora

Commercial Head - Global API, Biocon Limited

Saurabh Paliwal

Head - Investor Relations, Biocon Limited

Nikunj Mall

Head - Investor Relations, Biocon Biologics Limited

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2, 2022 To, The Secretary BSE Limited Department of Corporate Services Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001 Scrip Code - 532523 Dear Sir/Madam, Subject: Transcript of Earni

3.2%

n its steepest slowdown since 1970. The IMF has forecast that global economic growth will slow to 3.2% in 2022 and is likely to slide further to 2.9% in 2023 from the 6.1% that we saw in 2021. However

2.9%

forecast that global economic growth will slow to 3.2% in 2022 and is likely to slide further to 2.9% in 2023 from the 6.1% that we saw in 2021. However, India is an outlier in the current geopolitic

6.1%

economic growth will slow to 3.2% in 2022 and is likely to slide further to 2.9% in 2023 from the 6.1% that we saw in 2021. However, India is an outlier in the current geopolitical scenario. The conti

1 billion

isition of Viatris' biosimilars business is expected to close shortly. Biocon Biologics will issue $1 billion of convertible securities and make an upfront payment of $2 billion to Viatris on closing of the

2 billion

Biocon Biologics will issue $1 billion of convertible securities and make an upfront payment of $2 billion to Viatris on closing of the transaction. Biocon Biologics has secured the $1.2 billion of debt a

1.2 billion

payment of $2 billion to Viatris on closing of the transaction. Biocon Biologics has secured the $1.2 billion of debt and the balance amount of $800 million will be funded through $650 million of equity infu

800 million

the transaction. Biocon Biologics has secured the $1.2 billion of debt and the balance amount of $800 million will be funded through $650 million of equity infusion by Biocon and $150 million equity infusion

650 million

has secured the $1.2 billion of debt and the balance amount of $800 million will be funded through $650 million of equity infusion by Biocon and $150 million equity infusion by Serum. With regulatory approvals t

150 million

ance amount of $800 million will be funded through $650 million of equity infusion by Biocon and $150 million equity infusion by Serum. With regulatory approvals that are required to close the Viatris transa

650 million

us to start transition and integration of the business at the earliest. The equity infusion of $650 million from Biocon will be funded from $230 million from its existing reserves, including the stake sale

230 million

business at the earliest. The equity infusion of $650 million from Biocon will be funded from $230 million from its existing reserves, including the stake sale in Syngene, and the remaining $420 million t

“The recording will be made available on our website within a day and the transcript of the call shall be made available subsequently.”

“The IMF has forecast that global economic growth will slow to 3.2% in 2022 and is likely to slide further to 2.9% in 2023 from the 6.1% that we saw in 2021.”

“Biocon Biologics has secured the $1.2 billion of debt and the balance amount of $800 million will be funded through $650 million of equity infusion by Biocon and $150 million equity infusion by Serum.”

“The equity infusion of $650 million from Biocon will be funded from $230 million from its existing reserves, including the stake sale in Syngene, and the remaining $420 million through mezzanine funding.”

“Biocon's stake in Biocon Biologics will be 68% post the Viatris and Serum transactions.”

“While this is higher than our guidance of 12% to 15% of sales, we believe it will normalize once we accrue revenues from Serum's vaccines and Viatris' biosimilars businesses.”

“Enhanced capacities and new launches will drive growth for our API and generics formulations businesses while continued business momentum should help Syngene achieve its guidance for the full year.”

“And within the next few months, we expect retiring the short-term debt we'll be taking immediately to fund this payout and would be closing raising the funds from private equity to square off the mezzanine finance.”

“That is currently being scheduled with the agency, and post having that dialogue with the agency, we should be able to get clarity as to how we will be able to get that product to approval.”

“And the Mylan Viatris deal, once the payments are done probably before December, so would the financials be added in the October to December quarter itself or it would go to the next quarter?”

Shreehas Tambe

24

Saurabh Paliwal

20

Siddharth Mittal

15

M.B. Chinappa

15

Prakash Agarwal

9

Sameer Baisiwala

7

Vipul Kumar Shah

7

Harith Ahamed

6

Matthew Erick

5

Damayanti Kerai

5

Saurabh Paliwal

Good morning, everyone. I am Saurabh Paliwal from Biocon's Investor Relations team. And I would like to welcome you to the earnings call for the second quarter of Fiscal '23. I would like to indicate that all participant lines will be in the listen-only mode and there will be an opportunity to ask questions after the opening remarks conclude. Should you need to ask a question, please select the Raise Hand option under the Reactions tab of the Zoom application. We will call out your name and unmute your line. While asking, please begin with your name and your organization. Please note that the chat box in the Zoom application is disabled, but you can raise any technical concerns by sending us an email to investor.relations@biocon.com. Please note that this conference is being recorded. The recording will be made available on our website within a day and the transcript of the call shall be made available subsequently. Today, to discuss the company's business performance and outlook for t

Dr. Kiran Mazumdar-Shaw

Thank you, Saurabh. Good morning, everyone. I welcome you to Biocon's earnings call for the second quarter FY '23. I would like to spend a minute to pay tribute to my late husband John McCallum Marshall Shaw, former Vice Chairman of the Biocon Group. John passed away on October 24th in Bengaluru. As a key member of the Board and management of Biocon since 1999, John Shaw has contributed majorly to the transformation of Biocon into a globally recognized innovation-led biopharmaceutical company. In his 22 years with Biocon, he played a very important role in building the company, ensuring the highest levels of corporate governance, as well as contributing to the financial and strategic development of the Biocon Group. He retired from the Board of Directors of Biocon on July 23rd, 2021, due to health reasons. John Shaw was a man who stood tall with his values and inspired many. He was a benevolent, erudite and a compassionate person who truly believed in philanthropy and believed that it w

Saurabh Paliwal

Thank you, Kiran. We will just wait a moment for the questions to assemble. As a reminder, please use the Raise Hand icon in Reactions tab in the Zoom application to ask a question. The first question is from Prakash Agarwal. Please go ahead.

Prakash Agarwal

Thanks, and good morning. Just wanting to understand the mezzanine funding that you spoke about. When is it expected to reverse? In the past we have talked about that we are looking for private equity investors to come in. What is the reason for the delay if you could elaborate it? Transcript - Biocon Limited Q2 FY23 Earnings Call

Siddharth Mittal

So Prakash, we are in discussions with various private equity investors, but as Kiran mentioned in the opening remark that we want to close the transaction quickly so that we can realize the benefits of this acquisition and start the transition. And within the next few months, we expect retiring the short-term debt we'll be taking immediately to fund this payout and would be closing raising the funds from private equity to square off the mezzanine finance.

Prakash Agarwal

Okay. Understood. And secondly, if there is an update on Beva and Aspart approval timelines. I read in the presentation that the CAPA plans are already submitted, but what is our internal thought process in terms of the approvals?