Homegrown private equity player ChrysCapital has widened its healthcare portfolio in the country with a $70 million (Rs 585 crore) investment in Ahmedabad-based domestic formulations company La Renon Healthcare.
The company did not specify whether the amount comprised only a primary infusion of capital or whether it also included a secondary share sale from existing shareholders.
However, according to people in the know, existing investors Peak XV Partners (formerly Sequoia India) and A91 Partners will remain invested in La Renon after the latest trasaction.
To be sure, both Peak XV and A91 have been invested in La Renon since 2015 and 2021 respectively.
Investment bank o3 Capital was the sole financial adviser to this transaction.
“ChrysCapital is a valued partner in the business. Its investment is an endorsement of La Renon’s capabilities and will also provide impetus to the company’s plan of being in the top 20 Indian pharma companies in next 5 years. I also thank Peak XV Partners and A91 Emerging Fund LLP for their continued trust in our growth journey,” said Pankaj Singh, chairman and founder of La Renon Healthcare.
Founded in 2007 by Singh, La Renon claims to be one of the fastest growing companies in the domestic formulations business in India with specialisation in nephrology, neurology, gastroenterology, cardio, diabetic among others.
The company also claims to have over 250 patents across India, US, EU and Canada. It has two API (active pharmaceutical ingredient) units apart from two manufacturing units and a research and development (R&D) centre.
La Renon will join a list of some important Indian healthcare names that are a part of ChrysCapital’s portfolio including Mankind Pharma, Eris Lifesciences, Torrent Pharma, Ipca Labs, Intas Pharma, Zydus Cadila, among others.
As for ChrysCapital, the PE firm is currently deploying out of its ninth vehicle with a corpus of $1.4 billion.
In other activity around its pharma bets, ChrysCapital is believed to have signed off on Mankind Pharma for a second time by selling its remaining stake, VCCircle reported in March.
In non-pharma deals, the investor also acquired controlling stake in software engineering and digital services firm Xoriant for an undisclosed sum, earlier this year.
