OrbiMed invests $42.5m in India's Vivimed Labs

In a filing, Vivimed said Uquifa will use the new capital for debt reduction and optimization of its capital structure, as well as to expand the capacity of the API business. The size of OrbiMed's stake has not been disclosed. On the day following the announcement Vivimed's stock opened at INR140.90, up from the previous day's close of INR137.25, but ended the day down at INR135.65.

Uquifa was founded in Spain in 1936 as Union Quimico Farmaceutica and acquired by Vivimed in 2011. The unit operates three manufacturing sites in Spain and Mexico, producing the active ingredients for generic pharmaceutical makers and contract development and manufacturing organizations (CDMOs) in the global market.

Vivimed posted INR14.7 billion ($231 million) in consolidated revenue for the year ended March 2017, up from INR13.6 billion the previous year. Pharmaceuticals, largely driven by Uquifa, accounted for 72% of sales with specialty chemicals making up the remainder. The company's net profit for the same period grew from INR836.7 million to INR2.22 billion.

OrbiMed is deploying its third Asia fund, which closed earlier this month at the hard cap of $551 million. The vehicle will make 15-20 investments across the region in the fields of pharmaceuticals, medical devices and healthcare services. Currently OrbiMed Asia manages over $3 billion across private equity and public market investments.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• South Asia
• Healthcare
• PIPEs
• OrbiMed
• Pharmaceuticals
• India