Strides announces OneSource, a specialty pharma CDMO

Strides has announced OneSource, an independent specialty pharma CDMO. The new entity will manufacture products covering biologicals, complex injectibles and oral soft-gelatin capsules.

As part of the Proposed Scheme of Arrangement with an appointed Date of 1 st April 2024, Strides Pharma will demerge its oral soft gelatin business and identified CDMO business (including investments held by Strides in Stelis) into Stelis. Pursuant to the demerger, Stelis will issue equity shares to the shareholders of Strides and SteriScience on the recommended Share Entitlement Ratio determined by an independent valuer.

Pursuant to the approval of the scheme, Stelis would be listed on NSE and BSE in next 12-15 months. OneSource is created by merging Strides Soft gel business and SteriScience CDMO injectables business into current Stelis.

As part of the exercise a swap ratio of 1:2 has been finaliaed. Strides Pharma shareholders will receive one share of OneSource for every two shares of Strides Pharma with an implied value of OneSource for Strides shareholders is Rs 364/share. Strides Shareholders will own 44 per cent of the economics of OneSource.

On transfer of three businesses, “OneSource” will have revenue of Rs 75501 million encompassing Rs 24355 million of softgel business of Strides Pharma, Rs 21958 million of Steriscience, and Rs 29208 million of Stelis.