KKR, Blackstone in race for Advent-owned Bharat Serums & Vaccines: Report

KKR, Blackstone in race for Advent-owned Bharat Serums & Vaccines: Report


The sale process for Bharat Serums & Vaccines Ltd, owned by private equity firm Advent International, has evinced interest from a bunch of global private equity funds including KKR, EQT, Blackstone, Bain Capital, Carlyle, Partners Group, and Permira as well as domestic drugmaker Mankind Pharma, Moneycontrol reported on Wednesday.

Incorporated in 1971, Bharat Serums & Vaccines Ltd is engaged in the development, manufacture, and marketing of biological, biotech, and pharmaceutical formulations. Its products comprise plasma derivatives, monoclonal, fertility hormones, antitoxins, antifungals, anaesthetics, cardiovascular drugs and diagnostic products.

In particular, it focuses on therapeutic areas such as women’s health, assisted reproductive technology and critical care.

Advent had initially acquired a 74% stake in Bharat Serums from its erstwhile private equity investors, Orbimed Asia and Kotak PE; and the promoters of the company, the Daftary family, for around $500 million in November 2019. Later, the PE fund also acquired the remaining 26% stake of the Daftary family.

The sale of 100% of the equity of Bharat Serums is likely to fetch a valuation of up to $1.5 billion or more, the report said, adding that non-binding bids are expected to come in by the end of the month.

Acquisition talks of Bharat Serums & Vaccines Ltd come as India witnesses an unprecedented demand for healthcare amid an ageing population and rising disposable incomes.

Recent billion-dollar deals such as Temasek’s investment in Manipal Hospitals and Blackstone’s $1-billion acquisition of CARE Hospitals have spurred a host of new healthcare funds in the world’s most populous country.

More recently, Maiva Pharma, a contract development and manufacturing organisation (CDMO) for North America, said it has raised Rs 1,000 crore in primary and secondary funding from a fund managed by Morgan Stanley Private Equity Asia and India Life Sciences Fund IV.

Edited by: Joymitra Rai

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