Advent International, one of the more active buyout groups in India over the last few years, has created an active pharmaceutical ingredient (API) and contract development and manufacturing organization (CDMO) platform by bringing under its umbrella three portfolio companies.
The private equity firm, which bought a controlling stake in Indian API maker Avra Labs earlier this year, said the new platform will be called Cohance Lifesciences. It will be the new brand identity for its API and CDMO platform, which would comprise RA Chem Pharma, ZCL Chemicals and Avra.
The platform is also forward integrated into pellets, formulations and clinical research to provide end-to-end offerings to its customers, the PE firm said.
The V Prasada Raju-led platform intends to add more assets in the future with the vision to become one of the top three merchant API and CDMO companies in India.
Pankaj Patwari, Managing Director, Advent, said, “Over the last two years, Advent International has acquired three unique, yet complementary businesses in the API/CDMO space and has built a meaningful market position, demonstrating strong growth.”
Advent’s journey in the API space began with a controlling stake in RA Chem Pharma in October 2020, followed by controlling stakes in ZCL Chemicals in March 2021 and Avra Laboratories in April 2022.
Advent has been investing in India since 2007 and founded its Mumbai office in 2009. Currently, it has invested or committed over $3.4 billion across 14 companies with headquarters or operations in India in sectors such as business and financial services, retail, consumer and leisure, healthcare, industrial and technology.
Its other healthcare investments in India include Bharat Serums and Vaccines. Globally, Advent has invested over $10.4 billion across 51 companies in healthcare.
Another PE-controlled API platform in India is Sekhmet Pharmaventures. The platform involves three PE firms—PAG, CX Partners and Samara. It struck its second control deal earlier this year.