Remedium Lifecare Enhances R&D and CDMO, Secures ₹182.7 Crore Export Deal

Remedium Lifecare Ltd., a BSE-listed pharmaceutical company, today announced a strategic enhancement of its Research & Development (R&D) and Contract Development and Manufacturing Organization (CDMO) capabilities. This move aligns with the company's broader vision to strengthen its global footprint, especially in the United Kingdom and Europe.

The initiative coincides with the company's ongoing rights issue, which has achieved nearly 50% subscription as of the 8th day, garnering ₹24.28 crore. The rights issue, priced at ₹1 per share, saw bids totaling ₹24,27,93,851, and is scheduled to close on May 14, 2025.

The CDMO upgrade represents a transformational step for Remedium Lifecare, transitioning it from a trading-focused entity to a full-spectrum pharmaceutical solutions provider. While the facility will not increase manufacturing capacity, the focus is on building a dedicated quality control and testing infrastructure, enabling robust support for both raw material validation and finished product testing.

"Our focus is to build a robust foundation for CDMO and R&D services that will position Remedium to secure new contracts, drive innovation, and improve margins through backward integration," said Mr. Adarsh Munjal, Whole Time Director of Remedium Lifecare Ltd.

"The upgraded facility will not only support testing activities but also accelerate the development of new products and intermediates for international markets."

Key Features of the CDMO and R&D Upgrade:

- Installation of advanced testing equipment for material validation
- Expansion of laboratory space to support product development pipelines
- Dedicated infrastructure to support CDMO projects for international clients

Unlike conventional facilities focused on regulated markets, the selected CDMO site is not bound by USFDA or EU compliance requirements. This flexibility allows Remedium to tailor upgrades to customer-specific quality standards and respond swiftly to global project demands.

The company's efforts have already yielded significant results - Remedium recently secured a ₹182.7 crore multi-year export contract with a prominent pharmaceutical distributor in Europe, underscoring its enhanced global capabilities.

Adding to its innovation strategy, Remlife Global PTE Ltd., a Singapore-based subsidiary of Remedium Lifecare, has partnered with JiyaYu Lifesciences, a green chemistry platform. The partnership focuses on replacing animal-origin raw materials in API manufacturing. JiyaYu will license its technologies to Remlife Global, which will scale and commercialize them using sustainable, regulatory-compliant bioprocesses at GMP-certified contract manufacturing facilities.

The ongoing rights issue offers critical financial impetus for this transformation. The renunciation window ran from April 30 to May 9, 2025, with the issue concluding on May 14, 2025. Investor backing signifies confidence in Remedium's evolution into a comprehensive, sustainable pharmaceutical solutions partner.

Source : Equity Bulls

Keywords

RemediumLifecare RandD CDMO ExportDeal