Anu’s Laboratories Limited, a Hyderabad-based manufacturer of bulk drug intermediates, will be raising Rs 250 crore for further expansion of existing facilities, acquisitions and graduating to manufacture of active pharmaceutical ingredients (APIs).
“We are exploring various fund-raising options and modalities are currently being worked out for our organic and inorganic growth plans. The fund-raising exercise should be completed in six months from now,” K Hari Babu, managing director of Anu’s Laboratories Limited, told mediapersons here on Thursday.
Present in basic and advanced intermediates, the company is now going in for forward integration by setting up a US FDA-compliant API manufacturing facility at Visakhapatnam. The facility, with an outlay of Rs 63 crore, is expected to go on stream by October 2009.
“Due to significant growth in the generics industry, the requirement for quality APIs is likely to go up sharply in the next couple of years. Surging demand for APIs, from both domestic and international players, has led to a spurt in demand for pharmaceutical intermediates. We will convert our own intermediates to APIs from the Vizag plant,” Babu said.
Anu's Labs already manufactures intermediates to produce four APIs -- Diltiazem and Pentoxfylline (vasodilators), Ciprofloxacin (broad spectrum antibiotic) and Fexofenadine (anti-allergic). The company currently has a 400-kilolitre reactor capacity at its Hyderabad facility.
“The forward integration in Vizag plant will result in cost advantage and consistent supply of intermediates to produce APIs,” he said adding the company would produce three more APIs – Lopamidol (diagnostic agent), Naproxen (analgesic) and Bupropion (smoking cessation) – laboratory work for which is completed.
Anu’s Labs reported a net profit of Rs 11.46 crore on net sales of Rs 114.28 crore till the third quarter ended December 31, 2008, as against Rs 18.08 crore and Rs 150.408 crore respectively in FY08. The scrip of the company was up 3.19 per cent to Rs 37.15 at the end of the trade on the BSE on Thursday.
