MUMBAI: Several domestic firms are vying the race to by Bharat Serums and Vaccines Ltd (BSV).
In order to acquire the Mumbai based vaccine maker Bharat Serums and Vaccines Ltd, domestic pharma giants Cipla, Zydus Cadila, Dr Reddy’s Laboratories and private equity fund Baring Asia are reported to have been among those who are currently evaluating the acquisition.
According to its website, Bharat Serums And Vaccines Limited (BSV) has been ranked amongst the top 10 Indian biopharmaceutical companies. The Company, founded in 1971, is based in Mumbai, India and has over 900 employees. BSV researches, develops, manufactures, and markets injectable biological, pharmaceutical, and biotech products. Its product portfolio comprises 25 brands which include plasma derivatives, monoclonals, fertility hormones, antifungals, anaesthetics, cardiovascular drugs and equine immunoglobulins / antitoxins.
The existing investors Kotak Private Equity and Orbimed Asia and the promoter of the firm Daftary family are looking to sell their stake in the company at Rs 7,059 crore valuation ($1 billion). Currently, Kotak Private Equity and Orbimed Asia holds 23 percent together, while the Draftary family holds the rest.
A person told ET that the company has shelved a planned Rs 2,000 crore initial public offering that would have provided an exit for the investors.
Serum Institute of India, Biological E, Panacea Biotec and Shantha Biotechnics are the competitor of Bharat Serums and Vaccines Ltd in India.
According to the industry expert, the current discussions are preliminary in nature and may not lead to a transaction. The valuation is considered a key hurdle.
The firm sells their product in India and in over 45 countries has 900 employees. The company has R&D facilities in India, Germany and the US, The company owned and joint venture-based plants in Ambernath, Ahmedabad and Aachen, Germany.
Gujarat-based Cadila Healthcare Ltd., which operates under the brand Zydus Cadila, had formed an equal joint venture with BSV in 2005 to develop anti-cancer agents and bought out its partner in 2015 reports ET.