Several global and domestic private equity funds, including Apax Partners, TPG Capital, TA Associates and Kedaara Capital, are in initial discussions to acquire Inventia Healthcare, a Mumbai-based pharmaceuticals company, at a valuation of ₹2,600 crore ($300 million), said multiple people aware of the development.
Besides promoters, existing private equity investors – InvAscent Capital and Jacob Ballas – are also set to exit their investments. Stifel Financial Corp (Torreya) and Rothschild are running the sale process. As per the plans, the promoter family will retain a minority stake and run the business, added sources.
First round bids are expected by November first week, said banking sources.
Presently, both the investors together hold about 40% stake in Inventia. Promoter Janak Shah and family own the rest.
When contacted, Ankur Shah, whole-time director, Inventia Healthcare, declined to comment, while mails sent to Jacob Ballas and InvAscent did not elicit any responses. Mails sent to Apax, TA Associates and Kedaara did not elicit any response, while a TPG Capital spokesperson declined to comment. Rothschild and Torreya officials couldn’t immediately be reached for comment.
Founded in 1985, Inventia develops value-added oral dosage formulations on contract manufacturing basis for various Indian and global pharmaceutical companies. Inventia is expected to post a revenue of ₹700 crore with an Ebitda of ₹150-175 crore for FY24, said sources.
Inventia conducts its research and development activities at its laboratory in Thane, Maharashtra while manufacturing takes place at its Ambernath facility which has been approved by the US FDA and UK MHRA. Inventia operates in various geographies, including the US, UK, SAARC countries, and Latin American countries. The company has a track record of over 30 years in the sector, with a portfolio of 340 products in the form of finished and semi-finished products that mainly cater to the gastrointestinal, diabetic, central nervous system, and other therapeutics.
Source: Economic Times