Fitch Upgrades Biocon Biologics Outlook to Positive, Affirms BB- Rating

• Fitch Ratings revised Biocon Biologics Limited’s (BBL) Long-Term Foreign-Currency Issuer Default Rating (IDR) outlook to Positive from Stable, affirming the 'BB-' rating.
• The upgrade is driven by improving financial metrics at its parent, Biocon Limited (BL), and expected sustained reduction in BL’s financial leverage.
• BL’s EBITDA net leverage is projected to fall below 4.0 times in FY26, supported by a 12% rise in EBITDA and proceeds from a $460 million equity issuance.
• BBL maintains a strong competitive position in the global biosimilars market with a robust pipeline and significant market share in key products in the US and Europe.
• Fitch noted regulatory risks due to limited production-facility diversification and potential impacts from adverse shifts in US drug pricing policy.