Mumbai, October 24, 2024: Mankind Pharma Limited has completed the transaction to acquire 100% stake in Bharat Serums and Vaccines Limited (BSV), for a purchase consideration of INR 13,768 Crores. This strategic move marks a significant leap for Mankind Pharma, positioning it as a market leader in the Indian women’s health and fertility drug market alongside access to other high entry barrier products in critical care segment with established complex R&D tech platforms.
BSV, with over five decades of leadership in biopharmaceuticals, has developed recombinant and niche biologic products in-house, demonstrating its strong R&D capabilities and boasts of a robust branded product portfolio across Women’s Health, Fertility, Critical Care and Immunoglobulins, with a few of its marque brands enjoying a strong leadership position. (Link of last PR)
Business Highlights:
Ø Strengthen Leadership: BSV has a niche portfolio offering in Women’s Health, that encompasses the entire lifecycle, with one of the most comprehensive offerings in the fertility segment. It is well positioned to scale-up in both India and International markets amid increasing IVF penetration. In critical care and immunoglobulins, BSV’s niche products like Thymogam, Octaplex, ASVS and others have already established market leadership.
Ø Leverage Synergies: Potential to optimize and build on the synergies in commercial operations, distribution, manufacturing, supply chain etc.
Ø R&D Innovation: BSV’s R&D tech platforms will bolster Mankind’s presence in highly complex innovative recombinant, biologics, immunoglobulins and complex delivery products and pipeline.
Ø Scale up high entry barrier products: BSV’s established domestic product portfolio offers huge scalability potential through strong registration velocity through niche filings across international markets.
Transaction Highlights:
Mankind Pharma and its wholly owned subsidiary (WOS) has successfully acquired 100% stake in BSV, with the transaction funded through a combination of internal accruals and external debt, arranged through a combination of Non Convertible Debentures and Commercial Papers. Mankind Pharma may consider to retire, a portion of the debt through a potential equity raise, which is already approved by the shareholders. This EBITDA margin-accretive acquisition aligns with Mankind’s goal of maintaining a Net Debt to EBITDA ratio below 2x by FY26, reinforcing its commitment to sustainable growth and financial discipline.
Rajeev Juneja, Vice-chairman and Managing Director, Mankind Pharma Ltd. shared “BSV’s acquisition marks a pivotal moment for Mankind Pharma. Their established specialty R&D tech platforms with complex portfolio perfectly aligns with our vision to expand into high entry barrier portfolio. This strategic move marks a significant leap for Mankind Pharma, positioning us as a market leader in the Indian women’s health and fertility drug market. Today, we warmly welcome BSV’s 2,500+ members to our Mankind family adding a new chapter to our exciting journey and setting the stage for accelerated growth”
Sheetal Arora, Chief Executive Officer and Whole-time Director, Mankind Pharma Ltd. shared “Mankind’s strategic acquisition of BSV will bolster Mankind’s existing specialty portfolio in India and Emerging Markets. BSV’s women’s health & fertility segment has massive opportunity along with strong growth visibility globally, led by structural tailwinds. We believe BSV will aid Mankind in delivering strong revenue growth and significant improvements in EBITDA margins. Together, we will unlock new opportunities, strengthen our product portfolio, and maximize full potential of our new growth vertical.
Sanjiv Navangul, MD & CEO, BSV, shared, “Today, being a part of the 23000+ Mankind Pharma family makes BSV bigger, stronger and better. Together, we will now be able to ensure wider access of our specialized and indigenously developed complex treatments to millions of patients in India and across the globe. We will together unlock new possibilities, explore opportunities and maximize potential that will help achieve our priorities and business goals.”
