MC EXCLUSIVE Piramal-Bain JV IndiaRF promoted Synthimed Labs exploring fund raise at up to $1-bn valuation

As per the sale announcement to Synthimed Labs in 2023, Ind-Swift reported a consolidated revenue of Rs 1,207 crore and consolidated EBITDA of Rs 256 Cr in FY23.

According to a third person, " Synthimed Labs under IndiaRF is keen on deals in the API space and plans to utilize the capital raise proceeds for inorganic activity going ahead. Teasers have been sent to interested parties, including private equity funds. Even if suitors bid at 12-13 x, this would still be a large deal between Rs 7,200 crore to Rs 7,800 crore ( $818 mn to $887 mn) ."

The third person elaborated, " There is recent uptick in interest in the growing API space due to the 'China Plus One' factor becoming real and benefiting India and there are a number of buyers emerging."

All the three persons above spoke to Moneycontrol on the condition of anonymity.

Email queries to IndiaRF and Synthimed Labs remained unanswered at the time of publishing this article. Reminders have been sent and this article will be updated as soon as we hear from the parties.

In the past, players like Carlyle, Advent International, Motilal Oswal Alternate Investment Advisors, Edelweiss Alternatives and PAG have expressed interest in the API sector in India.

Know more about Synthimed Labs

Headquartered in Chandigarh, Synthimed Labs, led by former Zydus Lifesciences executive Kacharu Toshniwal who took charge in May 2024, is a global player in the manufacturing of APIs, Intermediates, and formulations.

The firm has three manufacturing sites in Punjab and Jammu and caters to the API requirements of regulated markets such as USFDA, EDQM, PMDA, ANVISA, EU-GMP, KFDA, NMO, ANSM, Cofepris, TGA, WHO, and ROW.

"Our company has established a significant presence in manufacturing APIs related to cardiovascular health, antihistamine, antidiabetic, antipsychotic, antimigraine, Parkinson’s, antineoplastic, ADHD symptoms, analgesics, alcohol abstinence, and bone resorption inhibitor, with global leadership positions in the macrolide antibiotic segment, " the firm's website says.

The website adds, "Our strengths lie in our capabilities for API development, production of finished dosage forms, non-infringing processes, and world-class facilities for contract manufacturing."

The IndiaRF India strategy

India Resurgence Fund (IndiaRF) is a leading India-focused platform dedicated to investing in special situations, owned and managed as a 50:50 joint venture between Piramal Group and Bain Capital’s Special Situations team.

The investment platform provides long-term, risk-adjusted returns to investors primarily by making control investments either in under-invested or stressed mid-market companies across diverse sectors.

"We have fully committed the $629 million from IndiaRF Fund 1, raised from international institutional investors, high net worth investors and family offices. Currently, we are in the process of raising IndiaRF Fund 2 and will be making new investments from this fund going forward. Additionally, we have the ability to tap into further capital through co-investment arrangements with our Sponsors and Investors to address the capital requirements of our portfolio companies," the IndiaRF website says.
Last month, private equity firm True North promoted listed player Shree Digvijay Cement said that the firm would offload as much as 50 percent shareholding to IndiaRF, bringing in fresh capital and triggering an open offer.

IndiaRF also backs multi-speciality hospital chain Livasa, Setco Automotive and KMC promoted Thrissur Expressway Ltd as per its website.

FAQs What is IndiaRF's connection to the F&B world?

Its portfolio also includes Impressario Entertainment and Hospitality which promotes brands like SOCIAL, Smoke House Deli, and Mocha