International Finance Corp. (IFC), the private sector lending arm of the World Bank, on Thursday said it was looking to invest up to $75 million, or about Rs.500 crore, in Glenmark Pharmaceuticals Ltd, which is raising $200 million to reduce debt and fund expansion plans.
The Mumbai-based drugmaker is raising the capital by selling quasi-equity instruments. The company plans to use the money to expand manufacturing capacity, mostly in India, build research and development (R&D) capacity for new products and reduce debt. Of the total, Glenmark plans to invest a significant amount in capital expenditure over the next three years across its facilities in India, IFC said in the disclosure. Glenmark has 17 manufacturing facilities across the world, of which 13 are in India. Singapore’s state-run investment arm Temasek Holdings Pte. Ltd invested around Rs.945 crore ($151 million then) for a 3.83% stake in Glenmark in April last year.