Hyderabad-based GVK Bio, a joint venture (JV) company between GVK group and DS Brar, former CEO of Ranbaxy Laboratories, plans to raise Rs 1 billion by way of private equity (PE), reports Business Standard.
The company, engaged in providing contract research services, will raise the capital by end of 2007 to fund its expansion plans.
The company is setting up a new campus near Hyderabad and also is looking at inorganic growth.
GVK Bio wants to take the PE route, in a bid to establish a basis for valuation when the company goes public. The company aims at Rs 2 billion in revenues in 2007-08.
The company has opened a new drug discovery research centre dedicated to Wyeth Pharmaceuticals with whom it signed a 5-year USD 45-50 million contract in January.(My Iris)