RPG Life Sciences Expands Pharma Play, Arm Buys Raghava’s API Business For ₹135 Crore

New Delhi: RPG Life Sciences is strengthening its pharmaceutical manufacturing business through another acquisition, with wholly-owned subsidiary RPG Active Pharma Ltd agreeing to acquire the active pharmaceutical ingredients (API) and intermediates business of Raghava Life Sciences.

The transaction is valued at up to Rs 135 crore, according to a regulatory filing by RPG Life Sciences.

Deal Expands API Portfolio

RPG Active Pharma has entered into a business transfer agreement for the acquisition, which will be completed as a going concern through a slump sale.

The transaction remains subject to customary closing conditions and necessary regulatory approvals.

The Raghava Life Sciences API acquisition will add 22 commercialised APIs and seven development-stage assets to RPG Active Pharma’s portfolio. These products span therapeutic areas including diabetes, cardiovascular diseases and central nervous system disorders.

It marks RPG Active Pharma’s second strategic acquisition following Actis Generics and is aimed at expanding the company’s integrated API capabilities and manufacturing footprint.

RPG Targets Bigger API Market Share

“This acquisition marks an important addition to the RPG Active Pharma Limited consolidated organization... By combining these manufacturing and product capabilities with Actis' intermediate strengths, we intend to build a larger presence and capture a greater share of the growing API market,” RPG Life Sciences Managing Director Ashok Nair said.

The Rs 135-crore transaction will be financed through a recent equity raise undertaken by RPG Active Pharma.

Quillon Partners acted as legal adviser for the acquisition, while o3 Capital and Deloitte served as financial and due diligence partners, respectively.

The acquisition strengthens RPG Life Sciences’ API business as the company seeks greater scale across pharmaceutical ingredients and intermediates.