Glenmark Pharma raises Rs 413 cr through QIP

Glenmark Pharmaceuticals has raised Rs 413 crore through its recently concluded Qualified Institutional Placement (QIP), which will be used towards its debt reduction plan, a top company official said.

"Our recently concluded QIP generated a good response from investors. The proceeds to the tune of Rs 413 crore will go towards debt reduction. Overall, we expect strong performance out of both the speciality and generic business domains in the financial year 09-10," Glenmark Pharma's Managing Director and CEO Glenn Saldanha told shareholders at the company's annual general meeting (AGM) here today.

In FY09-10, Glenmark plans to invest in R&D out of its own accruals, while maintaining a comfortable profit margin on the base business, he said.

"We are also sure that with improvement in working capital management and healthy cash-flows from base business, the financial profile and debt levels of the company shall improve multifold," Saldanha said.

The company has witnessed a healthy upswing in business this financial year. The first quarter registered a growth of 18 per cent in the overall business, he said.

The speciality business registered a growth of 37 per cent overall driven by strong growth numbers in semi-regulated markets, India and Central & Eastern Europe, Saldanha said.