In a significant move within the pharmaceutical industry, Mankind Pharma Limited has announced its acquisition of Bharat Serums and Vaccines Limited (BSV) from Advent International. The deal, valued at Rs 13,630 crore, represents a complete buyout, marking a major milestone for Mankind Pharma.
Deal Details and Expectations
The acquisition, which is set to conclude within the next 3–4 months, is pending regulatory approvals and the fulfillment of certain conditions. BSV, a Mumbai-based company, was initially promoted by the Daftary family and has since grown under the stewardship of Advent International.
A Strategic Leap
Advent International had previously acquired a 74% stake in BSV in February 2020, providing exits to private equity investors OrbiMed Asia and Kotak PE, along with a partial exit to the Daftary family. Subsequently, Advent secured the remaining 26% stake from the Daftary family following approval from the Department of Pharmaceuticals.
This strategic acquisition propels Mankind Pharma into a leadership position within the Indian women’s health and fertility drug market. It also grants access to high-entry barrier products in critical care, supported by BSV’s established complex R&D tech platforms.
Financial Performance and Market Impact
BSV has demonstrated impressive financial growth, reporting revenues of Rs 1,723 crore in FY24, reflecting a 20% year-on-year growth with adjusted EBITDA margins of 28%. Over the last three years, BSV has achieved a revenue CAGR of 21%.
Mankind Pharma, with a market capitalization of Rs 85,892 crore, reported a revenue of Rs 9,264 crore and a net profit of Rs 1,823 crore for FY24. The company’s shares saw a 1.81% increase, closing at Rs 2,143.90 on the BSE following the announcement.
BSV’s Business and Global Reach
BSV is engaged in the research, development, licensing, manufacturing, importing, exporting, marketing, and distribution of pharmaceutical formulations, active pharmaceutical ingredients (API), biotech and biological formulations, food and health supplements, medical devices, and ayurvedic medicines. Their focus spans therapeutic areas such as gynecology, in-vitro fertilization (IVF), critical care, and emergency medicines.
With six subsidiaries in India, the Philippines, Germany, the USA, and Malaysia, BSV operates in over 50 countries worldwide.
Leadership Insights
Mankind Pharma’s Vice-Chairman and MD, Rajeev Juneja, highlighted the acquisition as a pivotal milestone, positioning Mankind Pharma as a leader in the Indian women’s health and fertility segment. He emphasized the global growth opportunities in women’s health and fertility, driven by structural tailwinds.
Juneja also expressed excitement about welcoming BSV’s 2,500+ members to the Mankind family, envisioning significant achievements and positive impacts on women’s health globally.
Shweta Jalan, Managing Partner and Head of Advent India, praised Mankind Pharma’s investment in BSV, underscoring Advent’s strategy of identifying and nurturing unique businesses. She expressed confidence in the combined efforts of Mankind Pharma and BSV’s management to build one of India’s largest pharmaceutical companies.
This acquisition marks a transformative step for Mankind Pharma, poised to expand its footprint in high-entry barrier portfolios and enhance its impact on global healthcare.
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