BDR Pharma raises Rs 685 crore from multiples, other investors

Drugmaker BDR Pharma has raised ₹685 crore from a consortium of investors led by private equity firm Multiples.

BDR was valued at ₹7,500 crore in the first round of investment. Multiples, along with a few other marquee investors, have invested ₹685 crore in BDR Pharma for a 9.3% stake, Dheer Shah, CFO of BDR Pharma told ET.

The consortium of investors participating along with Multiples include institutional investors such as the investment arm of Times Group, QRG Invest (Havells Family Office), and high networth individuals Nishant Agarwal of Avighna Group, and Mallika Srinivasan of TAFE.

"BDR Pharma's strong R&D capabilities have helped the company build a strong track record of being 'first to market' multiple complex molecules in India. The visionary leadership of Dharmesh Shah (BDR's founder) supported by a high-quality and experienced senior management team has been a critical success factor and would continue to be a strong differentiator for the company," said Manish Gaur, managing director of Multiples.

"BDR Pharma is a leading CDMO player in the Indian pharma industry, with successful partnerships with leading names like Sun Pharma, Dr Reddy's, Lupin, etc. We are excited to partner with BDR on their strong growth journey of profitable growth." said Satyan Gajwani of The Times Group.

The investment proceeds are expected to be used to build additional research and development (R&D) capabilities in current and emerging areas, increase manufacturing footprint and enhance vertical integration. The company will also selectively pursue inorganic opportunities.

BDR Pharma, founded by Dharmesh Shah in 2003, supplies finished products for leading pharma companies, and has also launched its own brands, and put in place a marketing team. The company focuses on therapeutic segments such as oncology and critical care with a growing presence in dermatology, and gynaecology.

The company with a strong pipeline for new product launches, and a wide portfolio of product registrations across export markets, is also investing in becoming a vertically integrated manufacturer of its key products, taking advantage of government production linked incentive (PLI) scheme.

The company shot to fame during Covid-19 for developing copies of antivirals such as remdesivir, favipiravir, molnupiravir and lyophilized amphotericin b injection.

The company posted a revenue of ₹1,200 crore and earnings before interest taxes, depreciation and amortisationof ₹400 crore in FY21. It expects its revenue to cross ₹1,500 crore in FY22. About 90% of company's sales come from oncology products.