Multiples Alternate to invest $100Mn in BDR pharma for a 10% stake


Multiples Alternate Asset Management, a private equity (PE) fund led by Renuka Ramnath, is all set to invest around INR 750 crores (USD 100 million) for getting 10% stake in Mumbai-based generic drugs manufacturer, BDR Pharmaceuticals.

After this fundraising, BDR will be valued at around INR 7,500 crores (USD 1 billion). Its promoters Dharmesh Shah and family had held talks in 2018 with Carlyle for selling a minor stake of the company, but that conversation could not fructify.

As per credible sources, since last year, the domestic and global PE funds have been in primary discussion to buy a minority stake in the drug maker, whose collection includes Covid-19 drugs favipiravir, molnupiravir, remdesivir, and baricitinib in India. The firm is also an exclusive manufacturing partner of Cipla for remdesivir.

BDR commenced manufacturing the oral anti-Covid-19 pill molulife (Molnupiravir) last month after joining forces with Mankind pharma. It also declared the revenue of INR 1,200 crores (USD 160 million) wages before interest taxes, depreciation, and amortization (Ebitda) of INR 400 crores (USD 53 million) in FY21.

Mr. Shah, who was previously associated with Hetero Pharma based in Hyderabad since its commencement in 1993, left it for setting up a company in 2003.

The firm, which was earlier working into contract manufacturing of finished products for top pharma players, recently launched its brands, hired a marketing team, and set them in place.

Its processes are alienated into two companies - BDR Pharmaceuticals International and BDR Life Sciences manufacture APIs (active pharmaceutical ingredients) and formulations.

Furthermore, BDR focuses on developing four special therapeutic segments - oncology, gynecology, neurology, and critical care.

The firm unveiled a generic version of the J&J prostate cancer drug Zytiga (abiraterone) in 2013. It also introduced India's first generic - midostaurin - under the brand name MSTARIN, which can treat acute myeloid leukemia (AML).

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