JB Chemicals & Pharmaceuticals Ltd., now rebranded as just JB, and its CEO, Nikhil Chopra, often mention "fastest-growing" in their communications.
Arguably, taking a company’s ranking up about 10 notches over a span of three years could be termed an achievement.
During an audio/podcast interview with Scrip, Chopra is clear-headed and focused on further growth, an attitude that allows him to sweep aside talk of US private equity (PE) firm KKR planning to sell part or the entirety of its stake in JB.
KKR had acquired about a 54% stake in JB from the founders, the Mody family, and there have been media reports of stake sale discussions with Indian pharma majors, including Torrent Pharmaceuticals Ltd., Dr. Reddy's Laboratories Ltd. and Mankind Pharma Ltd.
A wide range of issues including acquisitions, increased use of tech and artificial intelligence (AI) in the company, possible headwinds from the Red Sea crisis in the Middle East and what India could do to jump-start innovation are also discussed during the interview.
Less than six months earlier, in late December 2023, JB acquired from Novartis AG a portfolio of about 15 ophthalmology drugs, including products to combat infections, allergies and glaucoma. The deal is effective January 2027, until which time JB will have exclusive licensing rights to the portfolio in India.
Besides, acquisitions of select probiotic and reproductive health assets from India’s Sanzyme and cardiac franchise Razel (rosuvastatin and combinations) from Glenmark Pharmaceuticals Limited have been overseen by Chopra, who was CEO-India Business for Cipla Limited before his current position.
A three-pronged strategy for the contract development and manufacturing (CDMO) business and a move to improve the company’s environmental, social and governance (ESG) ratings, also come up during the discussion.
His sights now set on a top five ranking in cardiology in India and an entry of the CDMO business into the US and Europe, the CEO admits the journey ahead is not easy, but he is counting on a leadership style that has served him well both at JB and over more than two decades at Cipla.
Citeline · JB CEO On CDMO Growth, Red Sea Crisis And More
TIME STAMPS
00:09 Brief intro to India landscape, Nikhil Chopra
02:26 Performance of recently acquired and own brands
08:34 MNCs licensing brands on loss of exclusivity to Indian companies
10:27 Entry into diagnostics space?
11:49 Tackling competition in the chronic therapy segment
14:29 Doubling CDMO revenues
17:38 CDMO entry into US, European markets
19:50 Jumpstarting innovation in India
22:20 Is KKR planning to sell its stake in JB?
23:12 More brand acquisitions on the anvil?
23:55 Changing family-run firm culture to a PE-firm’s aggressive one
27:45 Digital, AI initiatives
29:55 ESG, DEI initiatives
31:33 Red Sea challenges from Middle East crisis
32:48 Focus on CDMO, India, rest of the world
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