Transaction:
- PE firm TPG, through its growth equity platform TPG Growth, has entered into a binding agreement to acquire a 35% stake in SCHOTT Poonawalla from Serum Institute of India (SII), with Danish investor Novo Holdings as a co-investor.
- The total investment is valued at approximately $300 million; SCHOTT Pharma will retain its 50% stake, while SII will continue as a minority shareholder in the joint venture.
About SCHOTT Poonawalla:
- Established in 1990, SCHOTT Poonawalla is a joint venture between SCHOTT Pharma, a German pioneer in drug containment solutions, and Serum Institute of India, the world’s largest vaccine manufacturer under the Cyrus Poonawalla Group.
- The company manufactures advanced primary packaging and drug delivery systems including vials, prefillable syringes, ampoules, and cartridges, serving pharma, biotech, and CDMO clients globally.
About TPG & Novo Holdings:
- TPG is a global alternative asset management firm with $246 billion in assets under management, and its TPG Growth platform has invested in Indian healthcare players like Stelis Biopharma ($125 million), Nova IVF, Dr. Agarwal’s Healthcare, and Motherhood Hospitals.
- Novo Holdings, which owns a majority stake in weight-loss drugmaker Novo Nordisk, has also been actively investing in India, including stakes in Manipal Hospitals, healthcare AI startup Qure.ai, and agritech startup AgNext Technologies.
Rationale:
- The investment enables SCHOTT Poonawalla to accelerate its growth trajectory by enhancing manufacturing capabilities and expanding its global supply chain footprint.
- TPG brings deep expertise in scaling healthcare businesses in India and globally, offering valuable strategic insight and operational support.
- The capital infusion strengthens SCHOTT Poonawalla’s ability to innovate in drug containment solutions at a time when pharmaceutical companies are demanding next-generation delivery systems.
- The deal reinforces SCHOTT Pharma’s long-term commitment to India as a strategic manufacturing and innovation hub for global pharmaceutical supply chains.
- SCHOTT Pharma, with €957 million revenue in FY24 and over 1,800 customers, aims to leverage this strengthened partnership to deepen market penetration and improve local production capacities.
- Serum Institute’s continued minority role ensures ongoing collaboration, particularly in vaccine packaging and supply chain resilience initiatives.
Acknowledgements:
RBI Bulletin (www.bulletin.rbi.org.in), SEBI (www.sebi.gov.in), NSE (www.nseindia.com), BSE (www.bseindia.com)
Disclaimer:
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