US private equity firm TPG has entered into a binding agreement to acquire a 35% stake in the SCHOTT Poonawalla joint venture from Serum Institute of India (SII), the firms announced on Tuesday.
TPG Growth, TPG’s middle market and growth equity platform, is funding the investment, along with Novo Holdings as a co-investor. Following the transaction, SII will retain a minority stake in SCHOTT Poonawalla.
The total investment from TPG and Novo Holdings amounts to $300 million, according to one person with knowledge of the development.
The partnership with TPG will aid the joint venture to scale up, “equipping the company with additional resources and strategic insight to support its long-term global ambitions,” the companies said in a statement, adding that the deal was likely to close in the first half of 2025.
Serum Institute of India had entered into a joint venture with SCHOTT Pharma, a German pioneer in drug containment and delivery solutions, in 2021.
“Partnering with TPG marks an important step for us,” Adar Poonawalla, chief executive of Serum Institute of India, said in the statement.
“Their experience in healthcare investing and global network make them a strong partner as we scale and explore new opportunities. Our collaboration with SCHOTT Pharma will continue, ensuring supply chain resilience and advancing innovation in vaccine packaging and delivery,” he added.
Ashok Saxena, managing director of SCHOTT Poonawalla, said the entity was seeing increasing demand from pharmaceutical customers for advanced drug delivery and discovery solutions as they expand operations and shift towards more innovation and complex drug sales.
“We are excited to welcome TPG onboard as an investor, and are confident that their proven track record of successfully driving healthcare businesses in the Indian market will greatly benefit SCHOTT Poonawalla,” he added.
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The SCHOTT factor
SCHOTT Poonawalla designs advanced drug containment and delivery solutions for pharmaceutical and biotechnology customers.
The company’s portfolio includes cartridges for auto-injector pens, prefillable syringes for a wide variety of biologics, vials, ampoules, as well as regulatory services for biotech and pharmaceutical companies, and contract development and manufacturing organizations.
SCHOTT Pharma, which has more than 1,800 customers, generated revenue of €957 million in FY24.
“We are excited to partner with SCHOTT Pharma and Serum Institute of India and build upon SCHOTT Poonawalla’s market leadership position as India’s largest injectables-focused drug containment solutions company,” Bhushan Bopardikar, business unit partner at TPG Growth, said in the statement.
“SCHOTT Pharma’s innovation capabilities and pure-play focus on injectables will be complemented by TPG’s local market expertise, relationships, and experience from its strong presence in the Indian healthcare sector,” added Andreas Reisse, CEO at SCHOTT Pharma. “As we continue to expand our local production capacities and leading role in that, this step will further enhance our global footprint and deliver exceptional value to our customers.”
