### **Overview** Akums Drugs & Pharmaceuticals Limited, founded in April 2004, is India’s largest domestic market-focused Contract Development and Manufacturing Organization (CDMO), with growing international reach. Headquartered in India, the company operates across a fully integrated pharmaceutical value chain, offering end-to-end services from R&D and regulatory filing to manufacturing, packaging, and commercialization for APIs, finished formulations, nutraceuticals, and cosmetics. The company is listed on both the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) and has established itself as a key enabler for domestic and international pharmaceutical firms. As of June 2025, Akums reported that **three-fourths (75–78%) of its total revenue comes from its CDMO segment**, reinforcing its strategic focus on contract development and manufacturing. --- ### **Core Business Segments** Akums operates through five key business verticals: 1. **CDMO (Contract Development & Manufacturing Organization)** 2. **Domestic Branded Formulations (via Akumentis Healthcare Ltd)** 3. **International Branded Formulations (via Unosource)** 4. **Trade Generics** 5. **Active Pharmaceutical Ingredients (APIs)** > **Primary Revenue Contributor:** CDMO (~75%) --- ### **Manufacturing & Operational Scale** - **14 State-of-the-Art Manufacturing Facilities** across India (Haridwar, Kotdwar, Baddi, Barwala, Jammu under development). - **Annual CDMO Capacity:** 49.6 billion units across over **60 dosage forms**, including: - Oral solids (tablets, capsules, tri-layer/multi-tablet-in-capsule) - Oral liquids (including room-temperature-stable suspensions) - Injectable formulations (SVP, LVP, FFS, lyophilized vials, ampoules) - Topicals, dry powders, eye drops, nasal sprays, gummies, pre-filled syringes. - **Dedicated Facilities** for: - β-lactam anti-infectives (including penems) - Hormones, steroids, high-potency APIs - Sterile and lyophilized products - **New Plant Inaugurations:** - **Haridwar:** Injectable manufacturing facility (commercial operations began in FY25 Q2) - **Kotdwar:** Penem anti-infectives plant - **Jammu:** Under development, expected to start commercial production in 2026–2027 - **Global Certifications:** EU-GMP (Plants 1 & 3), US-NSF (Maxcure), ANVISA, WHO-GMP, and upcoming EDQM audits for CEP approvals. --- ### **R&D & Innovation** - **Four R&D Centers** (Haridwar, Mumbai, Barwala, Mumbai-owned expansion underway) - **DSIR-Approved Facilities:** 3 centers (Barwala for API, 2 others for formulations) - **R&D Investment:** ₹130 crores in FY25 (up 16% YoY), representing ~2.6–4% of revenue. - **R&D Team:** Over 350 scientists, with 250+ holding postgraduate or doctoral degrees. - **In-House Technologies Developed:** - Room Temperature-Stable Hydroxyurea Oral Suspension (patented, Sep 2024) - Pre-filled Syringes, Tri-Layered Tablets - Mouth Melting Powders in Sachet - Multiple Tablets in Capsule (MTiC) #### **Regulatory Milestones:** - **DCGI Approvals:** 998+ products; 31 new approvals in FY25 - **FSSAI Approvals:** 997+ - **Global Dossiers Filed Since FY22:** 629+ - **Drug Master Files (DMFs):** 20+ active - **Patents:** 104 filed, 104 published, **6 granted**, including a 20-year patent for Room Stable Hydroxyurea (Sep 2024) --- ### **Strategic Partnerships & In-Licensing** Akums is actively building its IP-driven branded portfolio through exclusive global collaborations: - **Triple Hair Inc. (Canada):** Exclusive rights to develop, manufacture, and market patented topical solution for **alopecia/hair loss** in India. - Commercial launch expected: **2027–2028** - **Caregen Co. Ltd. (South Korea):** Exclusive rights to market over **10 SKUs** of peptide-based cosmeceutical and therapeutic products in dermatology, weight management, and metabolic health. - Regulatory filings underway; launch expected **FY25–26** - **Jagdale Industries:** Partnership for **aseptic ready-to-drink (RTD)** formulations in wellness, sports nutrition, diabetes, and critical care. > **Note:** These partnerships reduce dependency on generics and position Akums in high-growth wellness and specialty markets. --- ### **API Division** - **Manufacturing Capacity:** 737.4 metric tons annually - **API Units:** 3 in Punjab and Haryana (via 2021 acquisition of **Parabolic Drugs** and 2022 merger of Akums Lifesciences with **Pure & Cure**, its API subsidiary) - **Key Categories:** β-lactams (cephalosporins, penems), steroids, heterocyclic chemistry, high-potency APIs, respiratory gases - **R&D Focus:** Chemical process development, regulatory compliance (CEP/EDQM/USDMF) - **Revenue Contribution:** ~4–7%, with EBITDA losses narrowing due to portfolio optimization - **Export Strategy:** Currently 9–10% of API sales to Asian markets; targeting **3 CEP approvals** within 12–18 months to enter **European markets** - **R&D Spending:** 4% of API revenue --- ### **Branded Formulations Business** #### **Domestic (via Akumentis Healthcare Ltd)** - **Revenue Mix:** 73% from **chronic and sub-chronic therapies**, especially gynaecology and cardio-diabetes - **IPM Ranking:** Improved to **#58 (from #59)** in FY25 - **Brands:** 140+, marketed through >1,500 field force members - **Performance FY25:** - **9% YoY revenue growth** - **12% EBITDA growth** - ~20% increase in PCPM (Prescription Share per Million) over 3 years - **Target:** Become a **Top 50** Indian pharma marketing player with leadership in gynaecology and cardio-diabetes #### **International (via Unosource)** - Present in **>70 countries** (Africa, Southeast Asia, Middle East, LATAM, Europe) - CAGR >25% since FY22 - Therapeutic Focus: Anti-infectives, cardiology, gynaecology, pain, gastroenterology - Strategy: Expand in regulated markets using EU-GMP facilities and local sales teams --- ### **Global Expansion & Key Contracts** #### **EUR 200 Million CDMO Contract (Milestone Achievement)** - Signed with a major **global pharmaceutical company** - For oral liquid formulations targeting the **European market** - Upfront payment of **EUR 100 million** received in **April 2025** - Commercial supply to commence in **2027** - Dossier and site approvals expected by **end of 2026** > This contract affirms Akums' capability to serve regulated markets and is a catalyst for future European partnerships. #### **Joint Venture in Zambia** - **Stake:** Akums holds **51%**, Zambian state-owned entity (Ministry of Health) holds 49% - **Facility:** To produce oral solids, liquids, injectables, and beta-lactams - **Start of Production:** Expected in **2028** - **Rationale:** Leverage government procurement for essential medicines in a $2,500 crore+ market with minimal private demand #### **Other International Moves:** - **Akums Healthcare UK Limited:** Wholly owned subsidiary incorporated in **March 2025** to support global commercialization - **Gold Markets Strategy:** Focused growth in **15 out of 50+ operating countries** - **Regulatory Pipeline:** 350+ international dossiers; 2 filed in Europe (Nov 2024), targeting unmet needs with low competition --- ### **Financial & Strategic Highlights (FY25–FY26)** | Metric | Detail | |-------|--------| | **CDMO Revenue Contribution** | 75–78% of total group revenue | | **Total Revenue (FY25)** | Not disclosed, but domestic branded growth at 9% and CDMO stable despite deflationary API trends | | **International Sales Share** | >10% of total revenue | | **EBITDA Trends** | Branded formulations improved; API and trade generics reducing losses | | **Capex Plan (FY26)** | ~₹300 crores (growth & maintenance) | | **Capex FY25 (9 months)** | ₹191 crores, primarily for CDMO expansion | | **Capacity Utilization** | 60–70% group-wide; up to 85% on select lines | --- ### **Market Position & Industry Tailwinds** - **#1 India-Focused CDMO** with over **30% market share** - **9.3% CDMO market share by value** (FY24), **8.8% by volume** (IPM) - **Client Base:** 1,400+ (including 26 of India’s top 30 pharma companies) - **Suppliers:** 1,800+ - **Global Demand Trends Favoring Akums:** - **De-risking from China:** US, Europe shifting API sourcing to India - **India’s CDMO Market Growth:** Expected to grow at **14.6% CAGR** to $44 billion by 2030 - Strong government support for domestic pharma manufacturing (PLI schemes)