Mankind Pharma Poised to Acquire Bharat Serums, Awaiting Binding Bids
Mankind Pharma leads $2B bid for Bharat Vaccines, enhancing women's healthcare and critical care sectors.
Breaking News
Jul 04, 2024
Mrudula Kulkarni

Mankind Pharma has emerged as the leading contender to
acquire Bharat Vaccines and Serums from Advent International, with a potential
deal valued between $1.7 billion and $2 billion, according to insider sources.
Despite its share price falling from a peak of ₹2,490 in
April 2024, the company had previously surged from a 52-week low of ₹1,661.05
in July 2023.
Armed with substantial financial resources, Mankind Pharma
is expected to bid over $2 billion for Bharat Serums. Official bids are
anticipated by mid-month. This acquisition would significantly enhance Mankind
Pharma's domestic market presence, particularly in women's healthcare, assisted
reproductive treatments, critical care, and emergency medicine, areas where
Bharat Serums is already a leader.
Competitive
Landscape
Mankind Pharma, headquartered in Delhi, is well-prepared to
execute this acquisition without jeopardizing its financial stability. The deal
would bolster its product offerings in both acute and therapeutic sectors.
However, Mankind faces competition from two private equity
consortiums. Warburg Pincus has partnered with Abu Dhabi’s Mubadala, and the
Abu Dhabi Investment Authority is bidding alongside a Swiss private equity
firm. The outcome will hinge on the depth of the private equity firms'
financial commitments, their valuation assessments, and projected investment
returns.
Requests for comments from Mankind Pharma went unanswered.
Similarly, Warburg Pincus and Mubadala did not respond, and the Abu Dhabi
Investment Authority declined to comment.
Background
on Acquisition
Advent International acquired Bharat Serums in 2019 through
two transactions worth approximately $500 million. The firm is now seeking a
full exit, aiming for returns exceeding three times its initial investment.