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Varenyam Biolifesciences to upgrade its upcoming Savli facility to offer biologics and biosimilar CDMO services for US, EU and SRA RoW markets

Posted On : 2026-08-11 22:08:20( TIMEZONE : IST )

Bharat Parenterals Limited ("BPL" or the "Company") has informed that its wholly owned subsidiary, Varenyam Biolifesciences ("Varenyam Bio"), has decided to upgrade its upcoming Savli manufacturing facility. Varenyam Bio was originally being developed as a Regulated Restof-World (RoW) focused facility, with an infrastructure profile similar to that of Innoxel Lifesciences. Pursuant to a Board resolution passed by Varenyam Biolifesciences Private Limited, dated August 11, 2026, the Varenyam Bio facility will now be upgraded to cater to biologics and biosimilar CDMO services in addition to its existing oncology line, with total Phase 1 capital expenditure revised to ₹300 crore from the previously envisaged ₹150 crore.

Reason behind this strategic upgradation

The strategic upgrade is driven by specific gaps in the global biologics supply chain. Innovator biotech companies and specialty generics players developing monoclonal antibodies and other biologics frequently lack in-house capacity to scale a molecule from clinical-stage development through to commercial-scale manufacturing, and depend on contract development and manufacturing organizations (CDMOs) with the process development, analytical and GMPcompliant manufacturing capability to carry a molecule across that gap. Industry data points to tightening capacity in this scale-up segment, between early clinical supply and full commercial launch, particularly among CDMOs able to serve regulated markets at commercial scale.

Varenyam Bio's upgraded facility will position the Company to address this gap directly. By building dedicated biologics/biosimilar capacity alongside its existing small-molecule oncology capability, the Company can position itself as a single partner to innovator and specialty generics customers for scale-up and subsequent commercial supply. This will save customers the effort of transitioning between multiple manufacturing partners as a molecule matures, and help the Company garner higher wallet share of its CDMO customers. Management views this as a structurally larger and stickier revenue opportunity than the Company's previous Regulated RoWfacing model, given the multi-year, relationship-driven nature of CDMO engagements and the higher barriers to entry in biologics manufacturing.

The upgraded facility design also allows Varenyam Bio to serve regulated markets, the United States and European Union, alongside SRA Rest-of-World markets, broadening its addressable customer base beyond the original RoW-only scope.

Facility and capacity particulars

- Upgraded facility comprises two dedicated blocks: a biologics/biosimilar block and an oncology block for small-molecule products

- Revised Phase 1 capex of ₹300 crore (previously ₹150 crore under the earlier RoW-focused model)

- Regulatory approvals to be pursued: USFDA, EU-GMP and ANVISA

- Target markets: United States, European Union and SRA Rest-of-World

- Construction targeted for completion by Q2 2028, subject to regulatory and commissioning timelines

"The global biologics and biosimilar CDMO market is estimated at approximately USD 24-27 billion currently, with various third-party industry estimates (including Precedence Research and others) projecting growth of 7.1% to 15.5% CAGR to reach approximately USD 38.3 billion to USD 94.1 billion by the early 2030s. North America currently holds the largest market share, at an estimated 34%-43%, while Asia Pacific is seen as the fastest-growing region. We are confident that our revised strategy will help Varenyam Biolifesciences benefit from this opportunity," said Mr. Bhahim B. Desai, Director - Strategy & IR, Bharat Parenterals Limited.

Shares of Bharat Parenterals Ltd was last trading in BSE at Rs. 1392.00 as compared to the previous close of Rs. 1380.00. The total number of shares traded during the day was 2121 in over 62 trades.

The stock hit an intraday high of Rs. 1420.00 and intraday low of 1351.10. The net turnover during the day was Rs. 2949552.00.