Yahoo! India Finance

October 21, 2003
   

Sami Labs plans IPO next year

 

Sami Labs, the Muhammed Majeed-promoted healthscience firm, is planning an initial public offering (IPO) early next year.

The Rs 250 crore group has appointed international consultancy firm Ernst & Young to design the company's expansion plans and advise on a fund-raising programme.

Muhammed Majeed, chairman & managing director, said, “Till recently, we were an Indian multinational company with the US as our focus market and limited presence in India. We are now looking at consolidating our group companies under one umbrella and expand our operations in India in a big way. We envisage an investment of around Rs 100-200 crore over an one-year period.”

Besides Sami Labs, the other group companies include Sabinsa Corporation (in the US), Organic Aromatics and Anju Phytochemicals. The company has offices spread across Japan, China, Dubai, Europe apart from the US. The group's product portfolio includes nutraceuticals, standardised herbal extracts, fine chemicals, cosmeceuticals, probiotics and various enzymes.

The company is also planning to foray into formulations. It also has plans to set up a formulations manufacturing unit in India.

It has invested close to Rs 60 crore in its existing four production units at Bangalore, Singasandra, Kunigal and Mysore. It also invested Rs 6 crore in its research & development unit based in Bangalore.

The company plans to expand globally through renewed focus on discovery, molecular research and intellectual property.

The company today announced that it's three new active ingredients -Tetrahydrocurcuminoids, Coleus oil and Zealutien have been approved and are set to create a mark in therapeutic categories including dermatology, infective and geriatric ophthalmology.

The three active ingredients, according to the company, in neutraceuticals and cosmeceuticals formulation have a combined estimated market size of Rs 20 crore.

The company, with these discoveries, expects to capture around 5 per cent of the total market in the next three years.