Private equity-backed nutraceuticals manufacturer nearing deal with KKR for significant ownership control.
KKR & Co. Potentially Acquires Majority Stake in Indian Nutraceutical Maker
In a significant development for the Indian nutraceutical industry, global private equity giant KKR & Co. is reportedly set to acquire a majority stake in an unnamed nutraceutical ingredients maker. The exact terms and conditions of the transaction are yet to be disclosed.
This potential acquisition follows KKR & Co.'s previous investments in the pharmaceutical and healthcare sectors in India, such as their stake in J. B. Chemicals and Pharmaceuticals, which was sold to Torrent Pharmaceuticals. However, the specific nutraceutical company associated with KKR in this transaction remains undisclosed.
Meanwhile, another private equity firm, Gulf Capital, has partially exited from a fertility chain, marking a move in the fertility industry. This exit is unrelated to the potential transaction involving the Indian nutraceutical ingredients maker.
PE/VC firms have been capitalising on the stock market rally, making exits worth $3 billion in the past month. TA Associates is planning to exit its investment in OmniActive, a company that is reportedly a potential target for PE/VC investments.
The proposed transaction comes amid concerns about trade tariffs imposed on Indian imports by US President Donald Trump. The transaction could have implications for US-India trade relations, but further details are yet to be announced.
The news of these developments was shared by two people familiar with the respective developments. It's worth noting that the transactions involving KKR & Co. and OmniActive are separate from Gulf Capital's exit and other investments in the Indian market.
As these deals unfold, the Indian nutraceutical and healthcare sectors continue to attract global investment, signalling a promising future for these industries.
[1] https://www.livemint.com/companies/news/j-b-chemicals-pharma-stake-to-be-sold-to-torrent-pharma-for-rs-1900-cr-11579542836877.html [2] https://www.bloombergquint.com/onweb/news/companies/2019/05/09/torrent-to-acquire-j-b-chemicals-pharma-for-rs-1900-cr
- KKR & Co., known for its investments in the pharmaceutical and healthcare sectors, might further expand its footprint in India's nutraceutical industry with a potential majority stake acquisition.
- Despite the ongoing concerns about trade tariffs, global private equity firms continue to invest significantly in the Indian nutraceutical and healthcare sectors, signaling a promising future for these industries.
