Matrix Pharma Private Ltd has acquired Viatris’ active pharmaceutical ingredients (API) business for ₹1,445 crore, a transaction funded by Kotak Strategic Situations Fund II (KSSF II).

The acquisition will make Matrix the second largest Indian API player with a global presence in antiretroviral APIs, a note on the development said. KSSF II is an Alternative Investment Fund managed by Kotak Alternate Asset Managers Ltd.

Matrix will gain access to research capabilities, over 185 scientists, and 600-odd DMFs (Drug Master Files), besides leveraging existing relationships with global pharma companies, the note said.

Help consolidation

Kotak Alt will enable Matrix to consolidate its presence in the API business by strengthening its third-party sales and “will selectively evaluate inorganic opportunities” in the pharma contract development and manufacturing organisation (CDMO) space, the note added.

Srini Sriniwasan, Managing Director, Kotak Alternate Asset Managers, said the transaction highlighted its pharma industry capabilities and ability to create a platform to build an API business which can be supported with organic and inorganic growth. Eshwar Karra, CEO – Kotak Strategic Situations Fund, added that India is the third largest API manufacturer in the world given its chemistry capabilities and cost-competitive manufacturing.