Quadria Capital Sells 10% Stake In Akums Drugs Through Successful IPO

Quadria Capital, a leading healthcare-focused private equity firm, has successfully exited 10 per cent of its stake in Akums Drugs and Pharmaceuticals through a highly anticipated initial public offering (IPO). 

The company in a press statement on Wednesday informed that this marks Its second pharmaceutical exit via IPO in India within the past year.

The IPO, which closed on August 1, 2024, has been described as one of the largest pharmaceutical IPOs in India over the past five years. The offering was massively oversubscribed, receiving close to 63 times the total subscription, with the portion reserved for qualified institutional buyers being subscribed more than 90 times. The anchor book featured participation from prominent investors including Smallcap World Fund, BlackRock, Abu Dhabi Investment Authority (ADIA), HSBC Global, SBI Mutual Fund, DSP India Fund, Neuberger Berman, Carmignac, and Loomis Sayles.

Quadria Capital retains a 5 per cent stake in Akums following this transaction. Established in 2004, Akums is India’s leading pharmaceutical contract manufacturing organisation, offering a broad spectrum of products and services domestically and internationally. The company operates 15 advanced manufacturing facilities and four R&D centres, serving over 1,500 customers in the pharmaceuticals, API, nutraceuticals, cosmetics, and derma sectors.

Quadria’s investment in Akums began in November 2019, driven by confidence in the pharmaceutical outsourcing segment and Akums’ strong position in the Indian market. Under Quadria’s investment, Akums has more than doubled its sales through robust organic growth, capacity expansion, and innovation. The company has also enhanced its ESG management systems, focusing on energy, waste, and water management.

Sunil Thakur, Partner at Quadria Capital, commented, “We are thrilled to see Akums achieve this significant milestone. Our partnership has been a journey of shared vision and mutual growth. We have full confidence in Akums’ management team and wish them continued success as they embark on this new phase.”

Sanjeev Jain, Co-Founder & Managing Director of Akums, stated, “This IPO is a landmark event in Akums’ growth story. We are excited to welcome new shareholders and are committed to advancing our mission of delivering innovative healthcare solutions.”

Sandeep Jain, Co-Founder & Managing Director, added, “Our progress has been fueled by our dedicated team. As we transition to a public company, we remain focused on delivering exceptional value and building a future aligned with our core values.”