aurobindo pharma subsidiary Apitoria Pharma Private Limited has approved the acquisition of an 80% stake in A1 Biochem Group for USD 17 million, marking a strategic expansion into contract research services. The Board of Apitoria finalized the deal on July 23, 2026, aiming to integrate front-end research capabilities with its existing large-scale API manufacturing operations. This acquisition enables the creation of a dedicated Contract Research, Development and Manufacturing (CRDMO) platform, allowing for longer lifecycle engagement with pharmaceutical clients and biotechs primarily in the USA.

The transaction is structured under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Apitoria will invest USD 13.6 million for its 80% ownership share, subject to closing adjustments. The remaining 20% stake will be retained by the existing promoter of A1 Biochem Group. Upon completion, A1 Biochem Labs (India) Private Limited will hold 100% ownership of A1 Biochem Labs LLC in the USA and acquire the business of A1 Biochem Research (India) Private Limited. The deal is expected to close within 90 to 120 days, subject to customary regulatory approvals and conditions prescribed in the Definitive Agreements.

A1 Biochem Group operates as a Contract Research Organization providing chemistry services including custom synthesis, medicinal chemistry, route scouting, analytical development, and rapid process scale-up. The group maintains scientific laboratories in Wilmington, North Carolina, and Hyderabad, India, employing over 90 scientists and utilizing more than 50 fume hoods. Dr. Rajendra Gadikota, who leads the group with over 25 years of experience, will continue with the organization post-acquisition. The target business serves a client base of over 50 entities and has completed more than 800 projects in the USA.

Financial Profile of Target Entity

The financial performance of A1 Biochem Group over the last three fiscal years demonstrates significant growth in turnover, followed by stabilization in FY25-26. The group generated substantial EBITDA margins relative to its revenue base.

The acquisition does not constitute a related party transaction, as the promoters or group companies of Aurobindo Pharma have no prior interest in the target entities. The consideration is entirely cash-based. By integrating A1 Biochem’s CRO platform, Apitoria seeks to complement its current API manufacturing business, offering end-to-end solutions from early-stage research to commercial-scale production.

Strategic Implications

This acquisition aligns with the company’s objective to deepen its presence in the API value chain. By acquiring established R&D capabilities and an existing client network, Aurobindo Pharma reduces the time required to build such infrastructure organically. The integration of A1 Biochem’s US-based laboratory presence strengthens the company’s ability to serve North American clients directly, potentially enhancing revenue stability through long-term service contracts. The retention of key leadership, including Dr. Gadikota, ensures continuity in scientific operations and client relationships during the transition period.

CuraTeQ Biologics Private Limited, a wholly owned subsidiary of aurobindo pharma , has received approval from ANVISA, the National Health Surveillance Agency of Brazil, for its biosimilars manufacturing facility in Hyderabad. The approval was granted following a successful GMP inspection conducted from May 11 to May 15, 2026. This regulatory endorsement strengthens the company's capability to supply biosimilar products to the Brazilian and broader Latin American markets.

The inspection assessed the facility's compliance for biological API and sterile products. The scope covered four biosimilar products and evaluated the mammalian and microbial drug substance manufacturing facility, prefillable syringe and vial filling facility, packaging and labelling facility, and QC testing and release laboratories.

CuraTeQ's drug substance and drug product GMP facility is already certified by the European Medicines Agency (EMA) and the World Health Organization (WHO). The ANVISA approval reaffirms CuraTeQ Biologics' commitment to global regulatory compliance and quality standards.

Inspection Details

The submission was made pursuant to Regulation 30 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. B. Adi Reddy, Company Secretary of Aurobindo Pharma Limited, confirmed the development in the filing.