Chennai-based Accord Group, which has interests in hospitality and healthcare, among others, on Thursday announced its entry into pharma business, aiming to become one of the top 20 global players and garner `5,000 crore revenue by 2025.
The Group founded by S Jagathrakshakan, a political heavy weight in the state, forayed into pharma business under the banner of Accord Life Spec (Accord Pharma) with the main focus on research and development, manufacturing and supply of sterile and non-sterile formulation products and API across countries. It is also planning to make a strong impact in domestic pharma market.
Accord Life Spec had made an unsuccessful bid recently to takeover the debt-ridden Orchid Pharma, through a resolution process by the NCLT.
Speaking to reporters here, Manish Choube, global CEO, Accord Life Spec, said there are plans to make the company a global specialty pharmaceutical entity in terms of innovation of products for patients in the current challenging and competitive pharmaceutical environment.
“Our mission is to become a top 20 pharma company at a global level. On the financials, we are targeting Rs 5,000 crore revenue by 2025. We have a strategy and plan in place to achieve the target, along with the right talents and right leadership,” he said.
As a first step, it is venturing into domestic market with the introduction of two key therapies Oncology and Nephrology, with 40 SKUs. The products range deals with treatment during blood cancer, breast cancer, lung cancer, hemodialysis, kidney transplant and renal medicines.
The company will launch various products in the international markets including the US, Europe and various other countries from next year. He said that the company will also be looking at contract manufacturing space in a big way where it can produce for MNCs.
“We are in talks with a number of MNC pharma companies, for contract manufacturing for them. We currently have capacities, around 50% to be used for contract manufacturing,” he said.
Explaining about the formulation products R&D and manufacturing facilities, Choube said its Oragadam facility, near Chennai, has the required modern needs for design and development, manufacturing and supply of parenteral and oral solid dosages formulations, both in oncology and non-oncology.
The export oriented facility has been built to the strictest specifications and in accordance with the principles of current goods manufacturing practices as required by the guidelines of the USFDA, UK-MHRA, PIC/S, TGA-Australia, Health Canada, ANVISA-Brazil, MCC-South Africa, India-DCA and other regulatory agencies across the globe.
The company will be investing Rs 1,000 crore this year and a similar amount next year to expand facilities as well as for product development. It has already invested around Rs 300 crore into its Oragadam unit and will be investing Rs 200 crore more. The company will be investing Rs 500 crore at its upcoming Cuddalore facility which will be functional by next year. Accord’s Puducherry centre has a focus to develop APIs that are competitive and profitable in the long run.
“We will continually look for new opportunities to grow business trajectory through strategic partnerships with companies seeking support in product development and manufacturing for oncology and other formulation products,” he added.