Hyderabad: City-based active pharmaceutical ingredients (API) maker Virupaksha Organics Limited is planning to make an investment ranging from Rs 50 crore to Rs 100 crore shortly as part of its expansion plans. This investment will happen at the Pharma City, where it has shown an interest to get about 40 acre, said its executive director MB Subba Reddy.
Set up in 2003, Virupaksha serves a large customer base and exports about 40 per cent the production to several key markets. It now has four manufacturing units at Kazipally, Pashamylaram and Gandhi Nagar. It has a research and development centre, Vector Bio. It makes APIs in antihistamine, anti-fungal, analgesic, anti-depressant, cough suppressant and other drug categories.
“We export about 40 per cent of the production volumes. We cater to the US, UK , Japan and other categories,” he said.
According to him, the new investment will help the company to add about 100 reactors. It currently has more than 250 reactors and some of them will have to be scrapped as they age.
The company had products that were a mix of low value high volume and vice-versa, he said about the difficulty in quantifying the production volumes.
The company plans to add another 500 people through the new investment. Currently, it has more than 700 people working for it and is clocking a turnover of Rs 250 crore, which it expects to double with the investments.
“Pharma City is a big opportunity for us. We are ready to invest but are now waiting for the Government to provide basic infrastructure,” he said.
Virupaksha Group through its Virupaksha Life Sciences is building global specialty pharmaceutical products and developing APIs from recombinant technology and is focusing on advanced chemicals and natural products through its Virupaksha Labs, he said.
While there is a proposal to shift the existing industries within the city to the periphery, the industry will be able to shift there once the new facility is ready. Approvals given are site specific and are not transferable and getting these again will take some time. These are needed for starting production, he explained.