Pharma firms will be paid Rs 3.5 crore for the company’s Allena brand, its Chief Executive Officer Prakash Jain said on Thursday.
The company, which manufactures antibiotics, is one of the most successful companies in the world with sales of over Rs 100,000 crore annually.
Jain said the company will pay Rs 3 crore to the Government of India.
“We will also pay Rs 5 crore to state governments.
We are doing a pilot program for India’s farmers,” he said.
Allena Pharma will get Rs 1,800 crore as compensation from the government.
The government will provide a loan of Rs 300 crore for Allena’s purchase.
The company will also receive Rs 20 crore in interest from the Government, he said, adding that it will also earn up to Rs 5,000 per share.
“It is the government’s responsibility to ensure that the government is delivering on its promises and making the necessary investments.
We have to make sure the Government is investing in our industry,” Jain told reporters.
The company had earlier announced a $1 billion loan guarantee.
It was expected to have a profit in 2018-19.