Romanian pharmaceutical company Biofarm (BVB: BIO), listed on the Bucharest Stock Exchange, is to be subject to a voluntary public takeover offer by Zakłady Farmaceutyczne Polpharma, the largest Polish drug manufacturer. Romanian investment funds Longshield Investment Group and Lion Capital, which own together 88.4% of the Romanian company, announced they had already accepted the offer.

The price offered by Polpharma is RON 1.379 per share, nearly 15% above the market price at the time the announcement was made. The price of Biofarm’s shares increased by 2.9% on May 7. Over the past year, the company’s shares rose by 90%, Ziarul Financiar reported.

With 985,375,350 existing shares, the total value involved in the offer amounts to approximately 1.36 billion lei, the equivalent of approximately EUR 270 million. The stake already committed by the two Romanian investment funds is worth EUR 230 million.

Separately, Longshield intends to request Biofarm to convene a general meeting of shareholders to approve the distribution of a special dividend of 0.140263 lei per share, before the launch date of the takeover offer.

Biofarm recently reported solid results for the first quarter of 2026. Sales revenue was RON 92.49 million (EUR 17.7 million), compared to RON 95.08 million in the same period in 2025. Net profit reached RON 32.53 million, compared to RON 32.32 million in Q1 2025 - a modest increase, but against a background of higher personnel expenses, of RON 15.59 million compared to RON 13.86 million a year ago, and depreciation that increased from RON 4.27 million to RON 5.57 million.

The launch of the offer is conditional on the approval of the Financial Supervisory Authority.

iulian@romania-insider.com

(Photo source: Facebook/Biofarm)