India’s booming pharmaceutical sector, valued at a staggering $78 billion , has attracted the attention of Piramal Alternatives, the alternative investment arm of Piramal Enterprises. In a recent move, Piramal Alternatives announced a significant investment of Rs 110 crore in Biodeal Pharmaceuticals, a Noida-based CDMO specializing in nasal sprays and nutraceuticals.
Investment Boosts Biodeal’s Infrastructure and Capabilities
This strategic investment, facilitated through convertible instruments from Piramal Alternatives’ Performing Credit Fund, will act as a catalyst for Biodeal’s growth. The funds are earmarked for strategically enhancing Biodeal’s infrastructure and manufacturing prowess. This includes a technology upgrade and the establishment of a dedicated nutraceuticals manufacturing facility, capitalizing on the Indian nutraceutical market’s projected growth to $18.9 billion by 2025.
Biodeal Gears Up for Tripled Capacity and USFDA Compliance
Anurag Kumar, Managing Director of Biodeal Pharmaceuticals, sees this investment as a springboard for significant growth. Biodeal anticipates tripling its production capacity within the next 12-15 months to meet the rising demand. Additionally, the company plans to construct a new facility that adheres to the stringent standards set by the USFDA, paving the way for expansion into the massive $808 billion global pharmaceutical market (according to a 2023 Statista report).
Piramal Recognizes Niche Expertise
Kalpesh Kikani, CEO of Piramal Alternatives, highlighted Biodeal’s leadership in nasal spray contract manufacturing and unwavering commitment to global regulatory standards as key factors driving their investment decision. This strategic move also reflects Piramal Alternatives’ confidence in the burgeoning nasal spray market, anticipated to reach a value of $20.4 billion by 2028 (according to a 2023 Grand View Research report).
A Strategic Alliance for Pharmaceutical Growth
This investment by Piramal Alternatives marks a turning point for Biodeal Pharmaceuticals. The Rs 110 crore infusion will empower them to execute their ambitious growth plans, including tripling production capacity and achieving USFDA compliance. This will solidify their position as a frontrunner in the Indian pharmaceutical sector. The deal also underscores Piramal Alternatives’ commitment to fostering the growth of promising healthcare and biotechnology businesses.
This investment collaboration not only benefits Biodeal directly but also strengthens the Indian pharmaceutical sector’s position in the global market. With Biodeal’s expanded capacity and Piramal Alternatives’ financial backing, both companies are poised for significant growth in the years to come.
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