Platinum Equity Acquires Controlling Stake in Inventia Healthcare

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Acquisition of Mumbai-based generic pharmaceutical business led by Platinum's Asia investment team

LOS ANGELES and MUMBAI (August 28, 2024) - Platinum Equity announced today the acquisition of a controlling stake in Inventia Healthcare Limited's core Oral Solid Dosage ("OSD") business ("Inventia") from India Life Sciences Fund III (Advised by InvAscent), NYLIM Jacob Ballas India Fund III, LLC, Mauritius and affiliates of the company's founding Shah family (collectively, the "Sellers").

The Shah family is retaining a minority stake in Inventia. Invengene and Nutriventia, the injectables and nutraceuticals businesses, respectively, are not part of the transaction and are being retained separately by the Shah family.

Financial terms of the acquisition were not disclosed.

"India's generics sector is well established with attractive long-term growth characteristics, and serves a key role in supplying the pharmaceuticals market globally," said Platinum Equity Co-President Jacob Kotzubei. "Inventia has built a differentiated B2B business that supplies both emerging and mature markets with high-quality products through its longstanding customer relationships and proven drug development and manufacturing capabilities. We intend to help Inventia build upon that strong foundation, expand its reach and further enhance the company's technology platform and delivery capabilities."

Headquartered in Mumbai, Inventia was jointly founded in 1985 by the company's late chairman and managing director Janak Shah and executive director Maya Shah. Today, Inventia serves as a partner to over 100 customers supplying both semi-finished and finished OSD formulations for both regular and value-added generics. Inventia's partners include global and leading local pharmaceuticals companies that sell in more than 40 countries across North America, South America, Europe, Southeast Asia, Middle East and Africa.

Inventia operates a manufacturing facility in Ambernath and a research and development facility in Thane in Maharashtra, India. The company's manufacturing platform is accredited by the U.S. FDA, U.K. MHRA and other Stringent Regulatory Authorities ("SRA").

"This investment marks a significant milestone in the journey of Inventia. As founders and long-standing stewards of the company, we are thrilled to see Platinum Equity's investment in our core OSD business," said Maya Shah and the late Janak Shah in a joint statement prior to Janak Shah's recent passing. "This partnership will harness Inventia's strengths and Platinum's operational expertise to propel us to new heights. We remain deeply committed to our mission and are confident that this collaboration will drive further innovation and growth. Our vision for Inventia has always been to provide high-quality, accessible pharmaceutical products, and with Platinum Equity, we believe this vision will only grow stronger."

The acquisition is being led by Platinum Equity's Asia investment team based in Singapore.

"We believe Inventia is a strong platform for growth in a fragmented market, and our goal is to create a larger, more diversified B2B business focused on the attractive but underserved emerging markets," said Platinum Equity Managing Director Amit Sobti. "We are excited to build upon the strong foundation set by the Shah family by bringing in our operational and financial resources to further institutionalize the company and set it up for success on a significantly greater scale. Inventia's current product pipeline can drive strong organic growth over the foreseeable future, which we will look to enhance through acquisitions, with an emphasis on broadening the company's product portfolio and capabilities."

Kotzubei said in addition to seeking add-ons for Inventia, Platinum Equity will continue to source platform deals in India that fit the firm's investment strategy.

"The buyout market in India continues to evolve and there are more opportunities available today that fit our approach," he explained. "There are more mature companies with more need for operational support, including founder or family-owned businesses seeking a partner who can not only provide capital, but also operational expertise. We have a lot of experience in those situations."

Barclays served as exclusive financial advisor to Platinum Equity on the transaction. Latham Watkins served as international legal counsel alongside Trilegal as India legal counsel for Platinum Equity. Kirkland & Ellis provided financing counsel to Platinum Equity on the transaction. Rothschild & Co and Stifel Nicolaus India (erstwhile Torreya Partners) served as financial advisors to the Sellers. Quillon Partners served as legal counsel to the Sellers on the transaction.

About Platinum Equity

Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with more than $48 billion of assets under management and a portfolio of approximately 50 operating companies that serve customers around the world. Platinum Equity specializes in mergers, acquisitions and operations - a trademarked strategy it calls M&A&O^® - acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics, equipment rental, metals services, media and entertainment, technology, telecommunications and other industries. Over the past 28 years Platinum Equity has completed more than 450 acquisitions.

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