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IFC plans to invest USD 75 mn in Glenmark Pharmaceuticals

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Press Trust of India New Delhi
Last Updated : Jun 16 2016 | 8:32 PM IST
International Finance Corporation is looking to invest up to USD 75 million (around Rs 500 crore) in Glenmark Pharmaceuticals, which is planning to raise USD 200 million to reduce debt and expand operations.
"The company aims to raise up to USD 200 million through market issuance of quasi-equity instruments to finance the project, of which IFC proposes to invest up to USD 75 million," IFC said in a disclosure on investment information.
The proposed investment will allow Glenmark to expand its manufacturing capacity mainly in India, to build research and development capacity for new molecules and to reduce some debt so that internal accruals can be deployed more for R&D, it added.
IFC said its plans to invest in Glenmark is pending approval of its Board, which is projected to meet on June 22 to take a decision on the same.
Earlier on May 31 this year, Glenmark had said in a regulatory filing that it has launched an offer on the Singapore Stock Exchange to raise up to USD 200 million (over Rs 1,340 crore) through issue of securities.
"The issuance committee of the company at its meeting held on May 31, 2016, has approved raising of up to USD 200 million through issuance of FCCBs to be listed on the Singapore Stock Exchange," Glenmark had said in the filing.
The Mumbai-based company had decided on a regulatory floor price for conversion of the FCCBs at Rs 861.84.

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Last year, the company's board and shareholders had approved a plan to raise funds up to USD 500 million through issuance of securities, including shares or equity-linked assets, convertible bonds, warrants, and depository receipts.
Glenmark has a significant presence in branded generic markets across emerging economies, including India. Its subsidiary Glenmark Generics has a fast-growing and robust US generic business.
Glenmark has 17 manufacturing facilities globally, of which 13 are in India, 2 in other emerging markets and 2 in developed markets.

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First Published: Jun 16 2016 | 8:32 PM IST

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