General Atlantic to obtain Rubicon as Everstone Cap exits

General Atlantic, the US-based development value impartiality investor, is buying Rubicon Research from an Indian private-value organization in a deal that would esteem the home-grown contract research and manufacturing services  (CRAMS) major at about $220 million.

Everstone Capital, which owns the Mumbai-based Rubicon, will sell its 70% stake while there would be essential capital implantation into the organization. The exact quantum of stake sale is yet to be ascertained.

The acquisition would mark General Atlantic'srenewed focus on pharma, the buyout major having upheld Jubilant Lifesciences previously.

According to RoC data, Rubicon revealed income of Rs 65 crore in 2017-18, contrasted and Rs 49 crore in the earlier year. It has absolute obligation of Rs 29 crore as on 31 March 2018.

Because of low manpower costs, India has an edge in the CRAMS space where worldwide pharmaceutical giants outsource medication innovative work to diminish costs. By offering top of the line research and complex innovation benefits and guaranteeing the accessibility of a noteworthy pool of experts, India remains the preferred destination globally for outsourcing drug development.

Internationally, General Atlantic has organizations, for example, Ginkgo Network, OneOncology, Citius Tech, Oak Street Health, and Evicore Healthcare in its venture portfolio. Rubicon will be its second pure-play pharma bet in India.

General Atlantic, among the first worldwide assets to set up a base in India, has effectively upheld a few home-grown consumer, fintech and financial services firms such as, Anita Dongre, PNB Housing, IIFL Wealth, Byju's, and Mu Sigma. It has generally been dynamic in the social insurance space, backing medical clinic chains both in India and somewhere else in Asia. Sources said the fund was scouting for a pharma platform for some time.

Everstone, which oversees resources in abundance of $5 billion crosswise over private equity, real estate, infrastructure and venture capital, has a wide presentation to the pharma and medicinal services segments.

Everstone also owns a controlling stake in domestic pharma distribution platform, Ascent Health, and SouthEast Asia-based diagnostic device platform Everlife. It is also an investor in OmniActive, one of the biggest nutraceutical ingredient businesses.

ET had reported a month ago about Everstone's interest in acquiring a majority stake in Sahyadri Hospitals Ltd - the largest chain of hospitals in Maharashtra. Everstone is in dealings with the current financial specialist, Global Infrastructure Partners, to purchase 51% in Sahyadri.