Zydus Lifesciences, formerly known as Cadila Lifesciences, has selected three investment banks to advise on its upcoming \u20b95,000-crore qualified institutional placement (QIP), according to multiple industry sources. The Ahmedabad-based pharmaceutical company is preparing for a major fundraise aimed at reducing debt and accelerating mergers and acquisitions (M&A), particularly in its US speciality business.<\/p>\n
Sources confirmed that Jefferies, JP Morgan and IIFL Capital have been chosen as advisors for the planned QIP.<\/p>\n
A second person familiar with the development said the deal could be launched by late December or early 2026, depending on market conditions.
All three investment banks declined to comment, and queries sent to Zydus Lifesciences remained unanswered at the time of publication.<\/p>\n
Also Read:<\/strong> Wedding Matchmaker Shaadi.com Said to Consider IPO<\/a><\/em><\/p>\n During the Q2 FY26 earnings call, Zydus Lifesciences Managing Director Dr Sharvil Patel detailed the company\u2019s reasons for initiating the fundraise.<\/p>\n Patel said the primary objective is to delever the balance sheet and reduce existing debt. He added that strategic moves will strengthen the company\u2019s capital structure, enhance its financial agility, and position it better for future growth.<\/p>\n He noted that the board has approved an enabling resolution, giving the company flexibility to tap capital markets when required.<\/p>\n Patel highlighted several areas the funds may support:<\/p>\n US speciality business expansion, including opportunities beyond Saroglitazar, its liver disease drug<\/p>\n<\/li>\n European market opportunities<\/p>\n<\/li>\n Acquisition of innovative assets<\/p>\n<\/li>\n<\/ul>\n Zydus plans to submit a US regulatory application for Saroglitazar in Q1 2026, as per earlier reports.<\/p>\n Zydus Lifesciences continues to prioritise debt management. Patel outlined the company\u2019s target net debt to EBITDA ratio, noting:<\/p>\n Without acquisitions, Zydus doesn\u2019t want the ratio to cross 1x<\/p>\n<\/li>\n For short periods, it may rise to 2x, but will be brought back to 1x<\/p>\n<\/li>\n<\/ul>\n Exchange data indicates:<\/p>\n FY25\u201326 revenue: \u20b915,116 crore<\/p>\n<\/li>\n Net profit: \u20b95,774 crore<\/p>\n<\/li>\n<\/ul>\n According to a Crisil Ratings report (September 9):<\/p>\n Gross debt: \u20b93,213 crore as of March 31, 2025 (up from \u20b9804 crore in FY24) due to higher working capital needs<\/p>\n<\/li>\n Liquidity: \u20b95,681 crore as of March 31, 2025<\/p>\n<\/li>\n<\/ul>\n Crisil expects Zydus\u2019s business risk profile to improve, supported by:<\/p>\n Double-digit revenue growth in FY25 and FY26<\/p>\n<\/li>\n Rising domestic and international traction<\/p>\n<\/li>\n Ramp-up in new chemical entities and biosimilars<\/p>\n<\/li>\n Operational gains from recent acquisitions<\/p>\n<\/li>\n Sustained operating margins at 25\u201326%<\/p>\n<\/li>\n<\/ul>\n Zydus Lifesciences has been active on the acquisition front this year.<\/p>\n Earlier, Zydus acquired a majority stake in French medical technology company Amplitude Surgical SA for around \u20b92,450 crore. In the wellness segment, subsidiary Zydus Wellness acquired UK-based Comfort Click Limited (CCL)\u2014a fast-growing digital consumer healthcare platform in the vitamins, minerals, and supplements (VMS) market. Click here to explore Zydus Lifesciences, formerly known as Cadila Lifesciences, has selected three investment banks to advise on its upcoming \u20b95,000-crore qualified institutional placement (QIP), according to multiple industry sources. The Ahmedabad-based pharmaceutical company is preparing for a major fundraise aimed at reducing debt and accelerating mergers and acquisitions (M&A), particularly in its US speciality business. Jefferies, JP […]<\/p>\n","protected":false},"author":6,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[615],"tags":[],"ppma_author":[1383],"class_list":{"0":"post-17762","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-stock-market-news"}," _eael_post_view_count":0,"authors":[{"term_id":1383,"user_id":6,"is_guest":0,"slug":"pradeep","display_name":"Pradeep Sangatramani","avatar_url":{"url":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg","url2x":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":""}],"_links":{"self":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/17762","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/comments?post=17762"}],"version-history":[{"count":1,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/17762\/revisions"}],"predecessor-version":[{"id":17764,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/17762\/revisions\/17764"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media\/17763"}],"wp:attachment":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media?parent=17762"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/categories?post=17762"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/tags?post=17762"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/ppma_author?post=17762"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Rationale Behind the Capital Raise<\/h2>\n
Focus Areas Outlined by the Management<\/h3>\n
\n
Debt Position and Financial Performance<\/h2>\n
\n
Latest Financial Metrics<\/h3>\n
\n
\n
\n
M&A Strategy: Strengthening Global and Wellness Presence<\/h2>\n
MedTech Expansion<\/h3>\n
The deal includes an 85.6% controlling stake and expands Zydus\u2019s presence in lower-limb orthopaedic solutions.<\/p>\nConsumer Wellness Acquisition<\/h3>\n
CCL generates most of its revenue through e-commerce and direct-to-consumer channels.<\/p>\n
\n<\/strong><\/em>Gift Nifty<\/a>
\nFII DII Data<\/a>
\nIPO<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"