Pharma firm to invest Rs 20 cr in SEZ unit

Indore-based Syncom Healthcare Limited, which has entered the primary market recently, will set up a unit in Special Economic Zone in Pithampur (near Indore) with an investment of Rs 20.48 crore.

It will also modernise its existing manufacturing unit in Dehradun with an investment of Rs 6.62 crore.

The company, in a statement issued to Business Standard, has said it will also set apart Rs 15 crore for working capital requirements and expend another Rs 7 crore for opening of an export office in Mumbai and for brand and product registration approval. The total cost of the project outlay is Rs 49.10 crore, which it will raise through public issue.

The company has said the SEZ unit will have ultra-modern facility and will manufacture general dose drugs with a production capacity of one billion tablets and 1.5 billion capsules annually. The unit will also have another manufacturing block to produce Cephalosporin drug both in tablet and dry syrup form. This block will have production capacity of 4.5 million tablets per year and 7.5 million dry syrup phials per year.

The company, which markets and manufactures drugs and formulations has gone public to raise funds through the issue of Rs 75 crore for 7.5 million shares through 100 per cent book-building.