Medical devices company Poly Medicure is looking for acquisitions in the technology field as well as capital expenditure after raising Rs 1,000 crore through a Qualified Institutional Placement (QIP).
Commenting on the same, Himanshu Baid, managing director, Poly Medicure, said that Rs 250 crore have been planned for future acquisitions, especially in the technology field, while another Rs 250 crore will be for general corporate purposes. “We are keeping it open right now since we are in a global market. So, we will look out for companies that offer technology and where we can go and scale up the business,” he added.
Baid explained that since the MedTech industry has a long gestation period with a couple of years needed to set up a new plant, added with another year and a half for regulatory approvals and clinical trials, the industry needs deep investments. Acquisitions thus speed up the growth plans.
“Therefore, half the money raised is being deployed for the new capex, which will start from now and will be over by the end of FY26,” he added.
The company is looking at portfolio expansion and increasing the number of products being added each year. “We operate in six core therapies—infusion therapy, vascular access, transfusion systems, cardiology, critical care, and renal diagnostics. So, in every core category, we are planning to add two to three new products every year,” Baid said.
The company is also pushing more investments in development work on the research and development (R&D) side to help it bring out more products.
Poly Medicure will also look to expand in three or four businesses that it has entered in the past few years, such as cardiology, critical care, and renal diagnostics. This will be done by expanding more on the manufacturing side and setting up new facilities to enhance its manufacturing footprint.
“In cardiology, we want to expand our presence in interventional cardiology and later on, expand into cardiac surgery products and structural heart and electrophysiology devices in the future,” Baid said. “Similarly, by the end of this year, we will have around 12 to 13 per cent of the market share in the renal business in India. So, now we want to expand this business globally,” he added.
While 70 per cent of the company’s revenue was from exports in FY24, it is planning to further expand its global footprint.
“We are looking to push more into the European market, which formed around 30 per cent of our export revenue. The next important markets will be the United States (US) and LATAM (Latin America),” Baid said.
The target, Baid said, is to continue to focus on these core geographies, which are highly regulated.
First Published: Sep 16 2024 | 7:45 PM IST
