Nandan Biomatrix plans Rs 30 crore IPO

Hyderabad-based Nandan Biomatrix (NBL), a company engaged in producing bulk extracts and formulations from medicinal plants, is planning a Rs 30 crore initial public offering by June this year.

"The size of the IPO would be between Rs 30 crore and Rs 50 crore. The funds would be used for jatropha plantations and to set up refineries all over India. We require around Rs 100 crore for the entire project and will raise the funds in a phased manner," C S Jadhav, marketing director, NBL, said.

NBL has recently forged tie-ups with bio-diesel companies in Europe. It also plans to develop jatropha plantations and establish refineries across the country.

The company has tied up with a few leading natraceutical and pharmaceutical companies in USA, Europe and the Middle East for marketing bulk extracts and formulations.

It has initiated various research and development (R&D) activities aimed at developing value added products to tap the global market.

"We have been successful in developing bulk extracts and over 15 formulations. We have also signed a memorandum of understanding (MoU) with the government of Andhra Pradesh for establishing processing and extraction units under the umbrella of Nandan Horti Processing Park (NHPP)," said Nagendra Prasad, territory marketing manager, NBL.

"NHPP is the first of its kind facility in the country catering horticulture segments like medicinal plants, herbs, spices, fruits and extraction units and once fully developed, the park will have common infrastructure and processing facilities complete with backward and forward integration," said Prasad.

The company has its research and resource centre for medicinal plants near Hyderabad and plans to have more such centres in selected states.

In Gujarat, the company plans to promote cultivation of medicinal plants through its franchise Rhythm Bio Herbal Farms.

The company has operations across the country with 25 franchises.

According to industry estimates, the global nutraceutical market is estimated to be to be $150 billion and is projected to grow to over $5 trillion by 2050.

There is a tremendous scope for the Indian medical plants sector in terms of commercial cultivation and value addition.