Quadria, TPG eye up to 25% stake for $100 mn in Samarth Life Sciences
Subscribe to enjoy similar stories. Private equity investors including Quadria Capital and TPG Capital have expressed initial interest to invest about $100 million for a 20-25% stake in critical care drugs provider Samarth Life Sciences, three people familiar with the matter said. “The transaction is expected to be purely secondary with the promoter group selling some of its stake," one of the people cited above said on the condition of anonymity.
If the deal goes through, this would be first external investment for the Mumbai-based company, which is wholly owned by the promoter group. In a secondary transaction, shareholders sell their stakes to existing or new investors, and no new capital is injected into the company. Secondary transactions usually take place at a discount to the primary shares which are newly issued by the company.
“While none of the investors have placed bids, they have engaged in initial discussions, and O3 Capital is running the mandate," a second person familiar with the matter said. Queries emailed to Samarth, O3 and Quadria Capital remained unanswered. A TPG spokesperson declined to comment.
Incorporated as Sohini Holdings & Finance Pvt. Ltd in 1997, the company was rebranded Samarth Life Sciences Pvt. Ltd seven years later.
Founded by first-generation entrepreneur Gunwantlal Shah, Samarth conducts research, develops and manufactures a broad range of life-saving critical care and other drugs and markets them to hospitals. Some of its flagship brands include Adrenor, Atrapure, Caprin, Cpressin, Distinon, Dexmedine, and Endocryl. “Over the last year (FY24), the company clocked ₹150-180 crore in Ebitda, and is on track to deliver ₹200 crore in FY25," the second person cited above said.
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