Strides Pharma Science has received approval from the National Company Law Tribunal (NCLT) for the creation and listing of OneSource Specialty Pharma, India’s first specialty pharma contract development and manufacturing organization (CDMO). This follows the previously secured funding of INR 8,010 million (USD 95 million) from investors, valuing OneSource at USD 1.65 billion pre-money. The NCLT approval allows OneSource to proceed with listing its shares on the BSE and NSE, pending regulatory clearances. As per the approved scheme, Strides’ shareholders will receive one OneSource share for every two Strides shares held. This move unlocks value for Strides’ stakeholders and positions OneSource for robust growth in the CDMO sector.
Key Insights:
- Strategic Divestment: Strides Pharma is strategically divesting its specialty pharma CDMO business into OneSource, unlocking value for its shareholders.
- Focus on Core Business: This allows Strides to focus on its core business of developing and manufacturing niche finished dosage formulations.
- Growth of CDMO Sector: The creation and listing of OneSource highlight the growth potential of the CDMO sector in India, particularly in specialty pharma.
- Attracting Investment: OneSource has successfully attracted significant investment from renowned investors, indicating confidence in its business model and growth prospects.
Investment Implications:
- Potential Gains for Strides Shareholders: Strides shareholders stand to gain from the listing of OneSource, as they will receive shares in the newly listed entity.
- Investment Opportunity in OneSource: The listing of OneSource presents a potential investment opportunity in the growing Indian CDMO market.
- Monitor Regulatory Approvals: Investors should monitor the progress of regulatory clearances for the listing of OneSource.
- Evaluate Strides’ Future Performance: The divestment of the CDMO business may impact Strides’ future performance, which investors should evaluate.
