The Hindu Business Line : GVK Bio raises Rs 100 cr from Sequoia Capital

Snapshot
Funds to be used to expand capacity in drug discovery services, build a campus in Hyderabad on a 25-acre site, provide new service offerings in pre-clinical and clinical space and pursue growth opportunities through mergers and acquisitions.

Our Bureau

Hyderabad, Nov. 26 GVK Biosciences Private Ltd, a pharma and biotech research and development (R&D) outsourcing company, today announced that it has received Rs 100 crore investment from Sequoia Capital, a global private investment firm.

The Hyderabad-based GVK Bio intends to use these funds to expand capacity in drug discovery services, build a campus in Hyderabad on a 25-acre site, provide new service offerings in pre-clinical and clinical space and pursue growth opportunities through mergers and acquisitions.

Dimensions Consulting, Gurgaon, an investment banking boutique, advised GVK Bio on this transaction. Sequoia Capital has nominated Mr Sandeep Singhal to the board of GVK Bio.

Sequoia Capital India manages four funds totalling $1.1 billion focused on investments in India across sectors. Globally, Sequoia Capital has funded leaders such as Google, YouTube, Cisco, Edelweiss, Zavata, etc, according to a press release.

GVK Biosciences delivers integrated research services to big pharma and biotech companies globally. Started in 2001, the company has at present more than 1,300 employees spread across facilities in Hyderabad, Chennai and Gurgaon.

The company recently entered into a 50:50 joint venture with INC Research to form INC GVK Bio Pvt Ltd. The venture intends to establish a dedicated resource capability to offer Phase I-IV clinical development programmes in India for INC’s global clients. The joint venture would also enable INC Research to conduct its global clinical trials in the areas of oncology, CNS, infectious diseases and paediatrics involving Phase I-IV studies.

Mr D.S. Brar, Chairman, GVK Bio, said: “Sequoia has funded and helped build world-class companies and will further assist in GVK Bio’s expansion plans”.

Mr Sandeep Singhal, Managing Director, Sequoia Capital said: “With the strength of its management and leadership, we believe that the company is on its way to become a dominant force in the life science industry.”

Sequoia Capital India has invested in over 30 companies in India over the last 6 years, including Applabs, Bharti Telesoft, Café Coffee Day, First Source, Indiatimes, Indecomm, marketRx, Paras Pharmaceuticals, SKS Microfinance and Tutor Vista.

More Stories on : Venture Capital | Pharmaceuticals | Research & Development

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