Vikas Lifecare takes 22% stake in pharma manufacturer Advik Laboratories
Vikas Lifecare Limited said that it has acquired a stake of 22.04% in Advik Laboratories, a pharma manufacturing company based in New Delhi.
The stake was acquired by the company through open/off-market deal(s) from public shareholders of Advik Laboratories, which has a pharmaceutical manufacturing facility in Sohna, Haryana that serves both domestic and export markets.
In the domestic market, the company supplies to Dr. Reddy Laboratories, Cadila Pharmaceuticals, Abbott India, Torrent Pharmaceuticals, and others on contract manufacturing basis.
Based in New Delhi, Vikas Lifecare has been historically into the business of trading of specialty chemicals compounds, polymers, plastic granules, PVC Resins, items associated with plastic industry. Recently, as part of a long-term business strategy, the company has entered into the consumer/FMCG businesses.
Vijay Sharma – CEO of Vikas Lifecare said: “We will now be focusing on a detailed analysis of the ground situation over the next 30-45 days, including the plant, raw material supply lines, WHO and other required registrations, etc. and chalk out a plan accordingly to start the operations as soon as possible.
“The recent series of fast and aggressive decisions venturing into newer business arenas to feed the growth spurt that had been targeted, and the instant response received from all sides, has generated a renewed energy for us. The acceleration is sure an exhilarating experience for the young and dynamic management as well as the frontline team.”
According to Vikas Lifecare, the management of Advik Laboratories has arranged with its bankers for settlement of bank dues and according to it, the former has paid INR 25 million to the bankers till date. The remaining amount will also be paid within July 2021 itself to make Advik Laboratories a debt free business, said Vikas Lifecare.
Chandan Kumar – CFO of Vikas Lifecare said: “We will be infusing further Rs. 20 million in Advik to kickstart the operations and will subsequently line up more funds towards the working capital as the operations gain momentum.”