Company Details

Promoted by a pioneer of the Indian pharmaceuticals business, Mr. Amrut Mody, Unichem Laboratories has

grown to become one of India’s most respected pharmaceutical companies. With formulations forming the

core of Unichem’s business, the company also manufactures active pharmaceutical ingredients (APIs or bulk

actives). In addition, it has several pharma products that address relevant and growing therapeutic areas like

gastroenterology, cardiology, diabetology, psychiatry, neurology, anti-bacterials, anti-infectives and pain

management among others.

Unichem is headquartered in Mumbai, India, and has six drug manufacturing locations across the country. In

keeping with its commitment to benchmark quality standards, several of the company’s facilities have been

accredited by reputed international organizations such as the US FDA, ISO, UK MHRA (earlier MCA), MCC

(South Africa), WHO (Geneva) and TGA (Australia).

The company has taken several important strides in the critical area of pharmaceuticals Research &

Development (R&D). It has expanded its R&D facility in Mumbai to spearhead research in Novel Drug Delivery

Systems (NDDS) and chemically synthesize non-infringing routes for the manufacture of medical products

directed at regulated markets. In its effort to drive innovation, Unichem has established a proprietary Pharma

Technology Development Centre in Goa to focus on the development of generic formulations comprising

Immediate Release as well as NDDS and ANDAs exclusively for the US market. The facility has also been

equipped to handle the development of formulation for New Chemical Entities (NCEs). Further, the company

has also established Biotech facility at Goa to invent, design, develop and commercialize biotech and

biosimilar products.

The current market capitalization stands at Rs 1,971.19 crore. The company has reported a standalone sales

of Rs 262.89 crore and a Net Profit of Rs 2.06 crore for the quarter ended Dec 2014.

Share Holding Pattern Financial Details

Industry Details

Indian pharmaceutical market is expected to reach USD 29 billion by 2016, growing 16% annually. India is one

of the top five pharmaceutical markets in the world. The Indian Pharmaceutical Industry has been growing at a

CAGR of more than 15% over last five years and has significant future growth opportunities (Unichem

Laboratories Ltd-Annual Report 2012-13).

India is emerging as a competitive outsourcing hub and is playing a major role in the global pharmaceutical

industry in manufacturing Active Pharmaceutical Ingredients (API) and intermediates for drug makers. Global

pharmaceutical companies are establishing long term relationships with Indian manufacturing companies and

contract research providers. Generic drugs produced in India are increasingly being

accepted worldwide. Thus, the overall scenario is turning in favor of Indian Pharmaceutical industry. The total

expenditure on health care in India, taking public, private and household expenditure was about 4.1 per cent

of GDP in 2008–09, which is broadly comparable to other developing countries, at similar levels of per capita

income. However, Public expenditure on Core Health was about 1.04 per cent during 2011–12 which is

minuscule compared to developed countries. Indian Government plans to increased public expenditure on

Core Health to 1.87% of GDP at the end of twelfth plan period. Indian pharmaceutical industry has a key role

to play in ambitious Universe.

Key Drivers of Pharmaceutical industry Growth are Inherent demand for health care products and services

due to large population base ,GDP growth leading to growing disposal income , Improved access and

awareness of healthcare services , Increased marketing penetration into semi-urban and rural areas,

Epidemiological changes, with a rapid increase in chronic, age-related disorders , Increased government

spending in healthcare infrastructure , Changing lifestyle resulting in higher incidence of lifestyle diseases,

Low cost advantage compared to global Pharmaceutical players and Lucrative Export opportunities in

affordable generics drugs segment

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