Category: Medicine

The government has disbursed Rs 1,596 crore under Production-Linked Incentive (PLI) schemes for six sectors, including electronics and pharma, during the April-September this fiscal, an official said.

The government in 2021 announced PLI schemes for 14 sectors such as telecommunication, white goods, textiles, manufacturing of medical devices, automobiles, speciality steel, food products, high-efficiency solar PV modules, advanced chemistry cell battery, drones, and pharma with an outlay of Rs 1.97 lakh crore.

Out of the total Rs 1,596 crore, the maximum amount of Rs 964 crore was disbursed under the PLI scheme for large-scale electronics manufacturing.

It was followed by pharma (Rs 604 crore), food products (Rs 11 crore), telecom (Rs 9 crore), bulk drugs (Rs 6 crore) and drones (Rs 2 crore).

Incentives disbursed till 2023-24 stood at Rs 9,721 crore, the official said adding the scheme is having a cascading effect on the country’s MSME ecosystem.

The anchor units that will be built in every sector will require a new supplier base in the entire value chain. Most of these ancillary units will be built in the MSME sector.

Further as of August 2024, across 14 sectors, investment of Rs 1.46 lakh crore have been realised, which has resulted in incremental production/sales of over Rs 12.50 lakh crore, employment generation of over 9.5 lakhs, and exports surpassing Rs 4 lakh crore. Over 760 applications have been approved under PLI schemes.

The departments implementing their respective schemes are responsible for the disbursals.

The scheme’s aim is to attract investments in key sectors and cutting-edge technology; ensure efficiency, bring economies of size and scale in the manufacturing sector and make Indian companies and manufacturers globally competitive.

Shares of Cipla dropped 3.55 percent, trading at Rs 1,450 on the BSE on Tuesday as investors await the company’s Q2 FY25 results scheduled for release today, October 29, 2024. Analysts expect muted growth in Cipla’s topline and bottomline, with challenges in US and domestic formulations potentially weighing on margins.

Revenue and earnings outlook

Zee Business forecasts indicate a three percent year-on-year revenue increase, with Cipla’s Q2 revenue expected at Rs 6,892 crore, up from Rs 6,678 crore in the same quarter last year. EBITDA is projected to remain relatively flat at Rs 1,720 crore, representing a slight 0.8 percent decline from Rs 1,734 crore year-on-year. Consequently, margins are likely to be impacted, narrowing to around 25 percent, compared to 26 percent in the prior year. Net profit, however, is estimated to see a rise, with profit after tax (PAT) projected at Rs 1,195 crore, marking a 5.7 percent year-on-year increase, buoyed by strong domestic growth.

Key growth drivers: Domestic performance and strategic portfolios

Cipla’s domestic sales are anticipated to climb by ten percent, with Zee Business highlighting that “domestic formulations are likely to drive incremental growth,” specifically noting that Sanofi’s CNS (central nervous system) portfolio will be a key contributor. In the US, sales are forecasted to reach $239 million, though competition and regulatory compliance measures are expected to keep the growth limited. Cipla’s inhalation and peptide assets will be closely watched, as market share expansion in these segments could provide some upside.

Regulatory compliance and market share targets

Investors are also keenly observing Cipla’s remediation measures for its Goa and Pithampur facilities, as USFDA compliance remains crucial for uninterrupted operations in its key US market. Zee Business experts also emphasize that Cipla’s efforts in resolving these regulatory issues will be a vital indicator of future growth stability.

In light of Cipla’s strategic focus areas and regulatory landscape, the Q2 earnings are likely to reflect both the company’s strengths in its domestic market and the persistent challenges in the international space.

Sigachi Industries has unveiled two new product lines – PureCoat and UltraMod – which are innovative pharmaceutical film coatings and polymer blends. 

“These cutting-edge solutions are poised to transform the coatings landscape, enhancing drug delivery, patient compliance, and overall product efficacy,” the company said in an exchange filing.

The company’s entry into the coatings market comes at a time when the global pharma coatings market is experiencing unprecedented growth, driven by increasing demand for advanced drug delivery systems and stringent regulatory standards. 

It is projected to witness a CAGR of 6.1 per cent during the forecast period 2024-2031, growing from USD 1.01 billion in 2023 to USD 1.62 billion in 2031F, the industry is ripe for disruption. In India, while the market is valued at approximately USD 202 million with a volume of 9,000 to 9,500 MT, the overall film coating market is estimated at 45,000 to 50,000 MT. India, as a global generic hub, contributes around 15 per cent to the global volume.

According to the company, PureCoat and UltraMod are designed to address the critical challenges faced by the pharmaceutical industry, including improving drug stability, enhancing and bioavailability.

Pharma company Remedium Lifecare has entered into a strategic agreement with Angel Partners, Ltd., UK, to acquire technology for manufacturing lithium carbonate in India.

The company has also signed an annual supply agreement with Alfa Chemicals and Solvents Ltd., Turkey.

“We are pleased to announce that Remedium Lifecare Ltd. has entered into a strategic agreement with Angel Partners, Ltd., UK, effective July 29, 2024, to acquire technology for manufacturing lithium carbonate in India. We have also signed an annual Supply Agreement with Alfa Chemicals and Solvents Ltd., Turkey, effective the same date. Supplies of technical-grade lithium carbonate will commence in the January-March 2025 quarter. The supplies for CY 2025 are valued at USD 20-25 million. Technical-grade lithium carbonate is used in lithium-ion batteries for electric vehicles and portable electronics,” the company said.
 
Remedium has partnered with various contract manufacturers to produce technical-grade lithium carbonate using the technology from Angel Partners, Ltd.

India is set to see significant employment growth in the first half of the current fiscal year (FY25) across key industries, led by healthcare, pharma, automotive, manufacturing, engineering and infrastructure sectors, a report showed on Thursday.

The country’s employment market is likely to see an expansion of more than six per cent in the first six months of the current fiscal for 23 industries, according to the report by TeamLease Services, a leading staffing company.

In terms of workforce size growth, the leading industries are construction and real estate, travel and hospitality, electric vehicles (EV) and EV infrastructure.

“With India forecasted to be the fastest-growing G20 economy in 2024, coupled with strong investment demand and easing inflation, the job market remains resilient in the face of global headwinds,” said Kartik Narayan, CEO of TeamLease Staffing.

Nearly two out of five organisations are prioritising skills development, equipping their workforce for the technological advancements that lie ahead, he added.Delhi, Bengaluru and Hyderabad are the top cities where employment opportunities are thriving.

Generative AI is projected to significantly impact 35 per cent of talent acquisition strategies, reflecting shifts in hiring practices due to technological advancements, according to the report.

The findings indicated a positive hiring sentiment in the Indian employment market, with 56 per cent of surveyed employers stating that their workforce will likely grow in the coming months.

Around 23 per cent anticipate maintaining their current workforce levels.In terms of in-demand skills, employers are actively seeking candidates with strong communication skills, attention to detail, technical proficiency, and organisational abilities.

Balaxi Pharmaceuticals Limited has announced global expansion. In an exchange filing, the company shared details about strategic hospital partnerships in Angola and securing tender business in Latin America. 
 
The company said that it has tied up with approximately 50 hospitals across Angola. Also, it is working towards having tie-ups with more than 150 hospitals across the country.
  
“This expansion into the hospital business marks a significant milestone for the company, allowing it to directly supply high-quality pharmaceutical products to healthcare providers in the region. This initiative not only enhances the availability of essential medicines in Angola but also positions Balaxi as a key player in the country’s healthcare sector,” the filing said.

Balaxi Pharmaceuticals has also made a significant entry into the tender business by securing a tender in a key Latin American market. 

This tender, valued at USD 0.8 million, marks the company’s first foray into the large tender business in Latin America.

Natco Pharma failed to maintain cleanliness, sterilise equipment and utensils at appropriate intervals at its Telangana-based plant, as per the US health regulator.

In the warning letter to the company, US Food and Drug Administration said its investigators observed various violations at the finished pharmaceuticals plant located at Kothur Village in Telangana. The USFDA inspected the facility from October 9 to 18, 2023.

“Your firm failed to clean, maintain, and, as appropriate for the nature of the drug, sanitize and/or sterilise equipment and utensils at appropriate intervals to prevent malfunctions or contamination that would alter the safety, identity, strength, quality, or purity of the drug product beyond the official or other established requirements,” the US health regulator noted.

It further said: “Your cleaning procedure for your non-dedicated equipment is inadequate.” Cross-contamination is not uniform, and the testing of control samples and placebo batches failed to scientifically prove that products are free of contaminants from visibly dirty equipment, USFDA stated.

“You do not sufficiently address contamination recovered from product contact surfaces, and you fail to acknowledge that other locations and other sampling may reveal high levels of contamination,” it added.

The US health regulator further stated that the company failed to thoroughly investigate any discrepancy or failure of a batch or any of its components to meet any of its specifications, whether or not the batch has already been distributed.

The USFDA sought a comprehensive, independent assessment of your overall system for investigating deviations, discrepancies, complaints, out-of-specification (OOS) results, discrepancies, failure, and records management system.

Provide a report that evaluates whether staff possesses proper investigation competencies, effectively conducts root cause analysis, and assures a corrective action and preventive action (CAPA) effectiveness, it said.

“We acknowledge your commitment to temporarily suspend production of all drugs manufactured on all dedicated and non-dedicated equipment for the US market while you remediate the CGMP violations,” it added.

If the drug maker plans to resume any manufacturing operations, notify this office before resuming production, USFDA said. A warning letter is issued when the US health regulator finds that a manufacturer has significantly violated its regulations. India has the highest number of USFDA compliant pharma plants outside of the US.

As per a report, the country has more than 600 USFDA registered manufacturing sites, constituting nearly 12.5 per cent of all registered manufacturing sites operating outside the US.

Pharma major Cipla Ltd will acquire the cosmetics and personal care distribution and marketing business of Ivia Beaute Pvt Ltd, including the latter’s brands Astaberry, Ikin and Bhimsaini, on a worldwide basis for Rs 130 crore, according to a regulatory filing by the company. Cipla Health Ltd (CHL), a wholly owned subsidiary and consumer healthcare arm, has signed a Business Transfer Agreement (BTA) for the purchase of the distribution and marketing business undertaking of the cosmetics and personal care business of Ivia Beaute Pvt Ltd, Cipla said. This strategic move is aligned with Cipla’s focus on enhancing its consumer healthcare and wellness portfolio, it added.

The acquisition will include Ivia Beaute’s brands namely Astaberry, Ikin and Bhimsaini on a worldwide basis, the company said. On the cost of acquisition, Cipla said it will be “Rs 130 crore on the closing date and Rs 110 crore contingent upon achievement of certain financial parameters (milestones) for next 3 years as mentioned in the BTA”. “The transaction is expected to be completed within 60 days from the signing of BTA or such other date mutually agreed between the parties in writing and shall be subject to successful completion/waiver of the conditions precedent and closing conditions as mentioned in such BTA,” it added. Commenting on the acquisition, CHL CEO and Whole Time Director Shivam Puri said, “This move not only solidifies our presence in the expansive and dynamic beauty and personal care sector but also builds on our well-established footprint in Tier 2-6 cities.” He further said, “Integrating Astaberry, Ikin and Bhimsaini into our portfolio seamlessly complements our existing offerings across key

OTC/consumer healthcare categories, empowering us to deliver comprehensive solutions that cater effectively to the diverse everyday needs of our consumers.” With a brand legacy of over 16 years, Astaberry caters to consumers through a wide range of unique products to help them address their skincare needs, the company said. The transfer of the ‘undertaking’ is subject to the completion of certain conditions mentioned in the BTA. Pursuant to the completion of such conditions, CHL shall initiate the distribution and marketing of the products, it added.

Drug major Cipla Wednesday reported over two-fold jump in consolidated net profit to Rs 357.68 crore for the fourth quarter ended March 31, mainly on account of robust sales across markets. The company has also decided to raise funds of up to Rs 6,000 crore.

It had posted a net profit of Rs 153.25 crore for the corresponding period previous fiscal, Cipla said in a BSE filing. Consolidated total revenue from operations stood at Rs 4,403.98 crore for the quarter under consideration. It was Rs 3,697.97 crore for the same period a year ago.

For the 2018-19 fiscal, the company’s net profit was Rs 1,492.44 crore as against Rs 1,416.57 crore in 2017-18. Total revenue from operations for the last fiscal stood at Rs 16,362.41 crore. It was Rs 15,219.25 crore in the preceding financial year.

In a separate filing, Cipla said its board has approved raising funds up to Rs 6,000 crore.

The board has approved “raising funds up to Rs 3,000 crore by issue of equity shares or American depository receipts or global depository receipts or foreign currency convertible bonds or other securities / financial instruments convertible into equity shares, whether denominated in Indian Rupee and/or foreign currency(ies), though a public issue or a private placement…,” Cipla said.

The board has also approved raising funds up to Rs 3,000 crore by issue of non-convertible debentures or bonds, whether denominated in Indian Rupee and/or foreign currency(ies), though a public issue or a private placement, it added.

The company is seeking approval of shareholders to the enabling resolutions at the ensuing annual general meeting.
“FY19 ended on a strong note for Cipla. While our home markets of India and South Africa continued to lead the way, our US business established robust base growth from differentiated direct-to-market launches,” its MD and Global CEO Umang Vohra said.

The company’s planned build-up of respiratory pipeline in the US remains on track. Challenges in the tender businesses and certain volatile markets played out as guided previously, he added.

“Most importantly, in FY19, we made important strides in broadening our offerings to patients around the world through health campaigns, innovative products, strategic acquisitions and digital healthcare solutions. From a sustainable growth and direction perspective, we are well-poised for FY20,” Vohra said.

The company’s board has recommended a final dividend of Rs 3 per equity share for the financial year ended March 31, 2019, Cipla said.

Shares of Cipla were trading at Rs 572.80 per scrip on the BSE, up 2.51 per cent from its previous close. 

Glenmark Pharmaceuticals Friday said it has received final approval from the US health regulator for Ezetimibe and Simvastatin tablets, used for treating high levels of cholesterol in the blood.

Adhish Patil, CFO, Aarti Drugs Ltd, talks about Q3FY21 numbers, PLI Scheme, CapEx and budget expectations during a candid chat with Swati Khandelwal, Zee Business in the run-up to the Union Budget 2021-22. Excerpts:

Q: Congratulations! you have posted strong numbers for the third quarter FY21. Going forward, do you think that these numbers are sustainable?

A: As far as revenue is concerned, the December quarter is always the lean quarter because the therapies in which we operate antibiotics and antidiarrheals, they are seasonal and are less in December. Accordingly, a growth of 12% has been achieved. When it comes to margin, then the gross margin is quite stable. Last time, I informed that prices declined slightly in the mid of the September quarter and since then the prices have been very stable. That is why the gross margin is almost the same and we are hopeful that the same level of EBITDA margin will continue, around 19-20%. 

Q: You have applied for the PLI scheme. What is an update on it and what kind of CapEx has been lined up for the scheme? Also, tell us about the products that will come under the under PLI scheme?

A: Certain products have been identified for CapEx, but irrespective of PLI whether it is granted or not, we will go ahead in those products. They are mainly intermediaries for the products that we are making the Active Pharmaceutical Ingredients (APIs), and we have applied for their intermediaries. The results will be out by end of February and we are quite hopeful, and I expect that we will get it. Let’s see. When it comes to the CapEx, we have a regular CapEx of around Rs 40-50 crores for maintenance, de-bottlenecking and Brownfield expansion per annul will continue. Apart from that, we have a CapEx plan of Rs 600 crore for Greenfield projects and it will start soon, and majority part of the CapEx will be used in Gujarat at GIDC and a part in MIDC. 

Q: What kind of top-line and bottom-line growth you are expecting in FY22? Also, update us about your current debt situation and what are the plans to reduce it?

A: The Brownfield expansions that we have done will be quite helpful in the growth for the growth in FY22. We are targeting a growth of around 14-15% growth and when this Greenfield CapEx will come in force that it will provide extra capacities, which gives a sense that the growth will be very high. In the next five years, we want to achieve a top line of around four and a half thousand crores, which is a long-term target. As far as debt is concerned, internal accruals are quite strong, and a lot of debt has been repaid. At December end, our debt came down to around Rs 334 crore of which around Rs 186 crore is a term loan and rest is working capital. So, the debt-to-equity ratio stands at 0.39, which is historically lowest for Aarti Drugs. As far as Aarti Drugs is concerned, I think 0.7 debt to equity ratio is quite good for ROE. From repayment of debt and interest is not any problem at 0.7 level. 

Q: Budget is round the corner. What are your expectations from the budget and what the government should do to boost your sector? 

A: Several things have been announced, like PLI scheme, so good things are happening. I wish the existing machinery of the government, like pollution board among others, turn pro-active and take actions fast, which will be quite helpful for us. Going forward, effluent management can be one of the key success factors for the pharma industry. 

In today’s episode of News Par Views, Zee Business Managing Editor Anil Singhvi spoke to Sandeep Garg, Joint Managing Director (Jt MD) of IOL Chemicals. The company was started in 1986 and is a manufacturer of popular pain killer ibuprofen. It started a plant for ibuprofen in 2000 and later made a multipurpose plant. (#NewsParViews) 

Garg said that the first two quarters of this financial year were quite good, and the third quarter was not as good. He attributed this to the lack of demand for the products on account of better health and food related practices adopted by people because of the lockdown. He said that the next quarter is expected to remain same but from the next financial year the situation will improve significantly. 

See Zee Business Live TV Streaming Below:

Price of ibuprofen 

The Joint MD said that the price of ibuprofen has come down because of the demand situation. He said that the price will improve once the demand picks up. 

Watch Zee Business Tweet Video Below:

In today’s episode of News Par Views, Zee Business Managing Editor Anil Singhvi spoke to Sandeep Garg, Joint Managing Director (Jt MD) of IOL Chemicals. The company was started in 1986 and is a manufacturer of popular pain killer ibuprofen. It started a plant for ibuprofen in 2000 and later made a multipurpose plant. (#NewsParViews)

On PLI 

On the Performance Linked Incentive (PLI) scheme, Garg said that the company has not participated in the PLI scheme as the IOL Chemicals’ plans are different. 

On Cash in hand 

He said that the company has around Rs 280-Rs 300 cr cash in hand. He said that the capex and dividend will continue in future. He said that it augured well for the investors to have surplus cash. He said that the company will definitively plan for dividend.

The company has inked a licensing pact with the NewJersey-based drug firm to acquire rights in Brimonidine Tartrate Ophthalmic Solution 0.025 percent, the Hyderabad-based firm said in a statement.

For some sectors, it’s good news, and for some it’s bad, the dollar index has jumped to a five-week high on Friday to 109 level, which is the highest since July 15 in the anticipation of US Fed Reserve another rate hike and on recessionary concerns.  

Export services sector such as Information and Technology as well as Pharma along with Apparel have positive impact amid a surge in the Dollar Index. On the contrary, the same is negative for sectors such as Oil & Gas, which also increases the import bill of the country. 

For the IT sector, strong demand from clients for digital and cloud transformation will continue to drive growth while margins which are under pressure due to high attrition and employee cost will be key monitorable in the coming quarters, Nirvi Ashar, Fundamental Analyst, Religare Broking said. 

The IT and Pharma sectors are export-oriented, so a rising dollar is always positive news for them, the analyst at Religare Broking stated. 

As far as other sectors such as pharma and apparel are concerned, they will continue to experience movement as per the normal economic cycles for their sectors, Nirali Bhansali, Fund Manager- Equity, Samco AMC said in her comment. 

Bhansali further stated that IT is one of them, as it derives over 30 per cent of its revenues from the US and the sector continues to have a good runway for growth given that it has now lost the tag of being a discretionary expense and has now become more of a necessary expense. 

Commenting on the dollar index trajectory, Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd said, there is a resistance at the 109-110 level, as the all-time Dollar Index was at 109.5. However, if it breaches this level, the dollar index may surge to 130 level, he added. 

He picked Infosys and Cipla as the best pick from the IT and Pharma sector that gets benefit from the rising dollar index. 

The recent tightening of monetary policy by the US Fed reserve due to inflation concerns as well as anticipation of an aggressive rate hike in September policy is driving the dollar, Ashar said in a note. 

Sun Pharmaceuticals Industries stocks gained on Tuesday on positive July-September quarter estimates. The scrip quoted Rs 1034 apiece on NSE, up 1 per cent, in afternoon session. The drug maker also hit a fresh 52-week high of Rs 1047 today which also is the counter’s intraday high. Earlier on Monday, the counter hit a seven-year high, entering into four-digit territory. 

Technical Analyst Nilesh Jain suggested to wait for corrections in Sun Pharma stocks before making any fresh buying as the counter has seen a good rally over the past few trading sessions.  

The Mumbai based pharm company is slated to announce its second quarter earnings for the financial year 2022-23 (Q2FY23) later today.

While, the stock has seen gains, the trading volumes have come down as investors may wait to take fresh look after the company declares its results. The trading volume was around 11 lakh shares, which was 2-3 times until Monday.  

According to Zee Business estimates, the company’s revenue may come at Rs 10,808 crore, and profit after tax at Rs 1.964.7 crore, while EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) is likely to be at Rs 2781.7 crore and, margins around 25.7 per cent in Q2 

Also Read: Sun Pharma’s Q2 revenue may grow in double-digit YoY; stock hits new record high after 7 years 

Technical Analyst Nilesh Jain calls it a “Buy on Decline” counter, citing gains, it has made over the last two trading sessions. 

On technical chart the stock has been making a rounding bottom formation, forming higher tops and higher bottoms now. A profit booking is imminent, he said. The overall outlook is positive, the Centrum Broking analyst said. It is trading near its 52-week (Rs 1030) and 7-year high (Rs 1058), Jain said.  

Also Read: Stock Markets Live Today: Sensex, Nifty off from day’s highs; pharma, IT power bulls

Investors holding this stock must keep it for price target of Rs 1100.  

The right level to enter this stock is Rs 1000.  

(Disclaimer: The views/suggestions/advises expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)

World-leading healthcare specialists Bravo Pharma have officially entered a strategic partnership with the region’s pioneering AI-powered healthcare company G42 Healthcare. In addition to this partnership, Bravo Pharma has also organized and participated with G42 Healthcare in a Conference dedicated to Clinical Genomics, Proteomics and Somalogic at Republicans Oncology Centre Tashkent Uzbekistan, attended by doctors from various regional oncology hospitals and the specialists from G42 Healthcare Abu Dhabi, Dr. Azza Attia and Mohd Rafiq M Zuraiqi.

Furthermore, they participated in the inaugural ceremony of the first Reference Oncology Diagnostic center which has been established by Bravo Pharma Group in association with Republicans Oncology Centre Tashkent Uzbekistan. The ceremony was attended by Indian Ambassador H.E Shri Manish Prabhat, Director Oncology Mirza Ghalib Tillyashaykhov and other office bearers.

G42 Healthcare, the leading Abu Dhabi-based health-tech company, aims to transform the traditional healthcare ecosystem across the region and beyond, by harnessing AI and advanced medical technologies. In line with its mission to unlock the potential of personalized and preventive care, G42 Healthcare has established Biogenix Labs, UAE’s first COVID-19 accredited large-scale throughput laboratory, launched IROS, the region’s first contract research organization for clinical research, and set up the Omics Centre of Excellence, the region’s largest and most technologically advanced Omics facility.

For Bravo Pharma, this strategic partnership with G42 Healthcare signals an increased effort in creating AI-based health services across the region and beyond through best-in-class integrated and multidisciplinary care in Central Asia, Africa and India by building highly efficient clinical reporting systems using bioinformatics and AI.

Bravo Pharma’s CMD Rakesh Pandey, a well-known entrepreneur and social philanthropist has been the center of the company’s operations on extending the field of genomics and pre diagnosis of solid cancer both geographically and research wise.

Regarding the collaboration, he stated, “For us, this partnership comes as a step closer to our mission of taking healthcare to the next level. As time and technology advance, we have the duty to provide everyone with the best and leading healthcare possible to ensure the highest quality of life for all. With G42 Healthcare’s AI development and our core new drug discovery cytogenetic, targeted therapy and advanced diagnostics competencies, we will be able to spearhead the region’s genome and health data computation processes.”

Kareem Shahin, Chief Business Officer, G42 Healthcare, commented, “Joining hands with Bravo Pharma strengthens our unified vision for a more personalized, intelligent, and value-based healthcare model. The impactful collaboration will enable us to deploy our best-in-class sequencing technologies to provide clinical genomics sequencing services coupled with clinical reporting and bioinformatics to propel healthcare forward.”

About Bravo Pharma

Bravo Pharma is a UK-based, global healthcare company, leading the field of genome sequencing solutions, advanced diagnostics, equipment and research. They utilize the world’s most modern and innovative technologies in drug development, targeted therapy, and non-invasive diagnostics to deliver the utmost quality of life to all.

To learn more, visit https://www.bravopharma.com/

(Above mentioned article is a sponsored feature, This article is a paid publication and does not have journalistic/editorial involvement of IDPL, and IDPL claims no responsibility whatsoever)

Shares of Cipla surged more than 6 per cent in morning trade on Friday to hit a fresh 52-week high amid the buzz over one of largest global private equity funds, Blackstone, eyeing to acquire promoter stakes in the pharma company.  

Cipla shares reached its all-time high of Rs 1238.55 in trade on Thursday. However, the stock trimmed its early gains and shares were trading 4.19 per cent higher at Rs 1213.85 apiece on BSE at 12:29 PM.

According to reports, Blackstone is expected to submit a non-binding bid by next week to acquire the entire promoter stake of 33.47 per cent in the Indian Pharma major.

Blackstone’s history of high-profile acquisitions, such as the significant acquisition of Cvent Holding Corp. and R Systems International Ltd, underlines the firm’s sweeping influence in the global market. Despite its name being rarely heard of in India, the company is one of the biggest corporate entities within India and a highly aggressive institutional investor.

Blackstone Inc: An Overview and History

Founded in 1985, Blackstone Inc. is a New York City-based American alternative investment management firm. It began as a mergers and acquisitions firm, evolving into a major player in leveraged buyouts and commercial real estate acquisitions. Blackstone operates across diverse sectors, including real estate, private equity, credit, and infrastructure. With an impressive asset management portfolio worth $50 billion in India alone and just under $1 trillion globally, Blackstone is a leading alternative investment firm.

Major acquisitions by Blackstone

Blackstone’s assets span from real estate to IT services, making it an aggressive institutional investor. It’s the largest office owner in India with an office portfolio of 135 million sq ft across seven cities. Apart from real estate, Blackstone’s investments in the tech sector are also noteworthy. The firm has acquired a majority stake in digital services provider R Systems International Ltd and tech firm Mphasis, highlighting its strategic diversification into various sectors.

Blackstone Controversies

Blackstone’s journey has been marred by controversies and criticisms. After the US housing crash, Blackstone, through its subsidiary Invitation Homes, became the largest owner of single-family rental homes in the country. This led to accusations of profiteering from the miseries of ordinary Americans. UN’s housing advisor, Leilani Farha, accused the Blackstone Group of exploiting tenants and fueling a global housing crisis. The firm was criticised for inflating rents and imposing heavy fees and charges for ordinary repairs, having “devastating consequences” for tenants worldwide.

Torrent Pharmaceuticals Ltd shares registered a new 52-week high of Rs 2,089.85 per piece on the BSE on Tuesday after the company reported a rise in net profit and revenue for the quarter ending June 30, 2023.  

The pharmaceutical company reported its earnings figures for the June 2023 quarter on August 7.

Torrent Pharma consolidated results for Q1 FY24

Torrent Pharmaceuticals posted a decent 7 per cent rise in its profit after tax (PAT) at Rs 378 crore on a year-on-year (YoY) basis, slightly higher than the estimated bottomline of Rs 361 crore in the June ended quarter.

The company’s revenue increased 10 per cent YoY to Rs 2,591 crore in the June quarter as compared to Rs 2,347 crore in the same quarter last year. However, it was lower than the street estimates of Rs 2,639 crore.

The pharma company witnessed its earnings before interest, taxes, depreciation, and amortisation or EBITDA rising by 11 per cent to Rs 791 crore as opposed to Rs 712 crore in the corresponding quarter of last year, marginally lower than the estimated figure of Rs 806 crore for the period.

Further, Torrent Pharma’s margins for the quarter under review improved to 30.5 per cent from 30.3 per cent in the year-ago period, in line with the estimated 31 per cent margin. Its gross margins also increased in Q1FY24 to 75 per cent from 72 per cent in the same period of the previous fiscal.

Region-wise rvenue

Torrent Pharmaceuticals’ revenue from its India business increased 15 per cent to Rs 1,426 crore in the June quarter compared to Rs 1,245 crore last year.

Its German business’ revenue made a strong 21 per cent growth in Q1FY24 at Rs 258 crore from Rs 214 crore in the year-ago period, while the Brazil business’ revenues grew by 3 per cent on a YoY basis to Rs 190 crore.

However, the company’s revenue in the United States decreased by 2 per cent to Rs 293 crore in the June-ended quarter.

Shares of Torrent Pharma were trading 0.57 per cent lower at Rs 2039.85 apiece on BSE At 11:11 AM.