Everstone strikes control deal in first new bet for almost two years

 Everstone strikes control deal in first new bet for almost two years

Everstone Capital, the private equity arm of the Everstone Group, said Wednesday it has acquired a controlling stake in Softgel Healthcare, a specialized niche dosage form focused manufacturing company catering to the global nutraceutical, pharmaceutical and over-the-counter segments.

Headquartered in Chennai, Softgel is part of the Madras Pharma Group, a pharmaceutical contract manufacturing organization with eight manufacturing facilities covering all dosage forms.

It specializes in research, development and manufacturing of soft gelatin capsules and probiotics. Its customers span across the Americas, Africa, Asia and India with over 80% of its sales being via exports.

For Everstone, which is in the market to raise a large private equity fund, the deal comes almost two years after its last known new investment.

In December 2020, it struck a control deal for Calibre Chemicals. The transaction was closed in August 2021. Calibre is one of India’s largest persulphates, perchlorate and iodine derivatives manufacturer and had inked an agreement to buy a German company early this month.

In 2020, Everstone had also invested in Slayback Pharma and Infostretch.

AM Sulaiman, founder-chairman of Madras Pharma, said the investment from Everstone will accelerate organization learning to provide best-in-class products and services.

Puncham Mukim and Arjun Oberoi, Managing Directors at Everstone Capital, will join the board of Softgel as part of the deal.

Sameer Sain, co-founder and CEO, Everstone, said, “The company, with its strong R&D capabilities and ability to manufacture products in advanced dosage forms, is well positioned to be a global leader in the CDMO segment.”

Veda Corporate Advisors was the exclusive financial advisor to Softgel and its shareholders.

Vivek Sinha

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