Jubilant Organosys Ltd has announced new contracts worth US $ 92 million for its Proprietary Products and Exclusive Synthesis segment under CRAMS business for the present calendar year (CY 2008).
Given Jubilant's geographical focus on the regulated markets, a large percentage of these contracts are realisable from the U.S., Europe and Japan. Outside the geographical region of the regulated markets, China is a major market for Jubilant. Jubilant's order book for the calendar year (CY 2008) stands further augmented with the addition of these contracts — the increase in size, over a similar announcement made last year, stands at over 50%. In addition to these annual contracts, the Company as part of its normal business also executes half yearly, quarterly and monthly contracts and spot sales. The new contracts have been signed with prominent international Pharma and other Life Science Companies, some of whom have been doing business with Jubilant for the past many years.
Given its experience in servicing global customers and the domain knowledge that it has built in key product areas, Jubilant has rapidly established itself as a world-class product and service provider in the CRAMS space. The Company has a healthy pipeline of products which are in Phase III, stage of development at the customers end; and to support this it has made timely investments to expand key capacities. These contracts represent a huge opportunity for volume growth going forward for the Exclusive Synthesis and Contract Manufacturing segments under CRAMS.
Commenting on the development, Shyam S Bhartia, Chairman & Managing Director and Han S Bhartia, Co-Chairman & Managing Director of Jubilant Organosys said: "We are pleased by the substantial increment in order size that Jubilant has been able to demonstrate with these new contracts. The momentum in CRAMS related outsourcing is accelerating. This is especially true of Companies like ours with an established record in delivering qualify and cost-efficient outsourcing solutions to demanding, global life sciences players. Given our integrated business model we have been able to meet requirements across the value-chain for our customers. The signing of the recent agreements is expected to translate into considerable improved performance in the key Pharma and Life Sciences Products segment during the calendar year 2008".