Advent-owned Indian CDMOs Suven Pharma, Cohance Lifesciences plan merger

As part of an effort to ramp up its manufacturing footprint, Suven Pharmaceuticals plans to merge (PDF) with fellow India-based CDMO Cohance Lifesciences.
Cohance is privately held by the Boston-based private equity firm Advent International, which completed a deal (PDF) last September that gave it a majority stake in Suven.
Pending regulatory approvals, the Suven-Cohance merger is expected to close in the next 12 to 15 months.
When combined, the firm will offer services in contract drug production, specialty chemicals and API manufacturing, Suven said in a release.
Suven operates five facilities in India, according to its website. The company generated around $165 million in revenues during its most recent fiscal year.
Cohance, for its part, appears to be operating at a similar scale. The company manages 7 manufacturing sites and pulls down around $154 million annually, according to its website.
Cohance employs 2,100 people while Suven’s workforce numbers around 1,160.
Although a deal value wasn’t disclosed, the agreement calls for Cohance shareholders to receive 11 Suven shares for every 295 shares of Cohance.
“This is a transformative step in Suven’s journey of growth and building a respected integrated CDMO player,” Annaswamy Vaidheesh, Suven’s executive chairman, said in the release. “We are extremely excited about the benefits of combined scale, capabilities, complementary customer base and best practices that will further help enhance our leadership position in India and globally.”
Source: Fiercepharma