La Renon Healthcare, an Ahmedabad-based pharma company, announced it has raised $30 million from A91 Partners, valuing the company at $500 million, according to ET report.
“A91 has picked up around 5-6% stake in the company, while Sequoia will continue to hold around 12.5% stake,” Pankaj Singh, founder and chief executive of La Renon.
Singh will continue to hold the remaining stake.
The company will use the funds to strengthen its product portfolio and R&D capabilities.
Founded in 2008 by Pankaj Singh, La Renon serves kidney patients and is a strong player in the central nervous system drug manufacturing. The company said it has captured around 30% market share in the nephrology drug segment.
According to Singh, the company closed the financial year ended March 31, 2020 with gross sales of around Rs 800 crore and earnings before interest, tax, depreciation and amortisation (Ebitda) of Rs 150 crore.
The company has expanded its footprint across Latin America, Middle East, Africa, Southeast Asia, and CIS and recently expanded its manufacturing plant, making it compliant with international accreditations in Europe, Australia, UK and Brazil. It has plans to expand the business into other chronic segments and in the manufacturing of critical Active Pharmaceutical Ingredients (APIs).
“The opportunity in the segment is huge. Despite the presence of global peers, we have been able to carve out a niche in the early-stage drug market for these diseases and we see this market growing manifold over the years,” Singh said.
Earlier in 2015, La Renon was valued at $100 million after funding from Sequoia Capital.
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