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Zydus Lifesciences Taps 3 Bankers For Rs 5,000-Crore QIP; Issue Likely In Early 2026
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Zydus Lifesciences has appointed three investment banks as advisers as it prepares to raise up to Rs 5,000 crore through QIP
Zydus QIP
Zydus Lifesciences (formerly Cadila Lifesciences) has appointed three investment banks as advisers as it prepares to raise up to Rs 5,000 crore through a qualified institutional placement (QIP), Moneycontrol reported, quoting industry sources.
According to the sources, the company aims to pare debt and pursue mergers and acquisitions (M&A) opportunities, particularly in its US specialty business.
“Jefferies, JP Morgan and IIFL Capital have been picked for the proposed capital raise,” one of the persons told Moneycontrol.
A second source confirmed the advisory syndicate and added that the QIP could be launched by the end of December or in early 2026, depending on market conditions.
During the Q25Y26 post-results earnings call, Zydus Lifesciences Managing Director Dr Sharvil Patel elaborated on the rationale behind the capital raise.
“So, the key objective is to deleverage our balance sheet by reducing our existing debt. Also, there are strategic moves which will enhance our financial ability and agility to strengthen our capital structure, positioning us better for future growth. The board has approved the enabling QIP resolution to allow us the flexibility to tap capital markets when required. More importantly, we have opportunities to look at the US specialty business and scale it up beyond Saroglitazar,” Patel said.
Saroglitazar is a liver disease drug for which Zydus plans to submit a US regulatory application in the first quarter of 2026, as per reports.
Patel further added, “There are opportunities in the international market, specifically Europe, and we are also evaluating innovative assets. The capital raise will give us the capability to execute on some of these.”
Zydus Lifesciences: Focus on reducing debt
On its net debt-to-EBITDA ratio, Patel noted: “Without any acquisition, we don’t want to cross one time, and for a short period we can go up to two times and then reduce net debt back to one time. That’s the range of spend we will look at.”
For FY25–26, the company reported revenues of Rs 15,116 crore and a net profit of Rs 5,774 crore, according to exchange filings.
A September 9 report by Crisil stated: “Gross debt stood at Rs 3,213 crore as of March 31, 2025 (Rs 804 crore as of March 31, 2024), on account of higher working capital requirements. Liquidity was superior at Rs 5,681 crore as of March 31, 2025.”
Crisil also noted: “Crisil Ratings expects the business risk profile of Zydus Life to continue improving, supported by double-digit revenue growth this fiscal and the next, led by continued traction in domestic and international markets, ramp-up in sales of new chemical entities and biosimilars, and benefits from recent acquisitions. The company is expected to sustain healthy operating margins of 25–26%, leading to higher cash accrual.”
Zydus Lifesciences: M&A strategy
Earlier this year, the company strengthened its medical technology portfolio by acquiring a majority stake in a French asset for around Rs 2,450 crore.
On March 11, Zydus Lifesciences said it had entered exclusive negotiations to acquire an 85.6 percent controlling stake in France-based Amplitude Surgical SA, a leading medical technology player specialising in lower-limb orthopaedic solutions.
In the consumer wellness segment, Zydus Wellness, a subsidiary of Zydus Lifesciences, acquired the UK-based Comfort Click Limited (CCL), one of the fastest-growing digital consumer healthcare platforms in the vitamins, minerals and supplements (VMS) space, which derives most of its revenue from e-commerce and D2C channels.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
November 20, 2025, 12:44 IST
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BENGALURU: Masayoshi Son-led SoftBank Group pared its holding in Ola Electric Mobility to 13.5% from 15.6%, in what appears like a staggered exit from the electric 2-wheeler maker that was once among its marquee India bets. SVF II Ostrich (DE), a SoftBank affiliate and Ola Electric’s second-largest shareholder after founder Bhavish Aggarwal, sold 9.4 crore shares through open market transactions between Sept 3, 2025, and Jan 5, 2026, according to a regulatory filing.
Kevin PeacheyCost of living correspondent
Getty ImagesDebt charities say they are receiving an influx of calls as people worry their financial situation has slipped towards becoming unmanageable.
The first weeks of January are usually the busiest time of year for helplines following a particularly expensive period.
Advice charity StepChange said Monday was busier than any single day last year, and credit counselling service Money Wellness said a fifth of those accessing its services at the turn of the year did so between 22:00 and 03:00.
Dave Murphy is working his way out of debt and said demands from creditors could have become overwhelming, but he urged anyone struggling to ensure they asked for help – for their financial and mental wellbeing.
Money Wellness, which runs free debt and money advice services, said thousands of people had accessed its services on Christmas Eve and Christmas Day. Expanded assistance online allows people to increasingly find information outside of normal hours – including overnight.
Sebrina McCullough, its head of advice, said: “The numbers we’re seeing over Christmas and New Year are unprecedented.
“People often feel pressure to celebrate the holidays, even when money is tight, and our data shows many are turning to us late at night when they feel most anxious.”
Pressure of priority bills
StepChange’s website had 3,958 visitors on Christmas Day, and 15,401 on New Year’s Eve and 1 January combined.
Many may have simply been exploring their options, but calls came in thick and fast at the start of the month. While not at the level of the energy crisis of a few years ago, call numbers were notably up on last year.
The Money Advice Trust, which runs National Debtline, said the first working days of January had seen more calls than last year.
Monday was the busiest single day in its history, when 1,365 calls came in.
Concerns are particularly acute for those struggling to pay priority bills such as council tax and rent.
The colder weather could also place extra strain on vulnerable households, with £4.4bn already owed to energy suppliers following a period of high prices, although the government’s cold weather payments have been triggered in many areas.
Charities are urging anyone whose debt has become unmanageable to seek help as soon as possible, rather than making matters worse by ignoring the situation.
That is a view shared by Dave, who has managed to work his way out of difficulty.
A few years ago, he found his previously manageable credit card debt becoming a problem when he was unexpectedly made redundant at the same time as going through a divorce.
“They were two quite dramatic things in six months,” said Dave, who has previously spoken to the BBC about his debt issues.
“The debt was around £20,000 to £25,000 at its height. It became so overwhelming. You feel that you are letting creditors down because you want to do what they ask of you – but you are scared, you are renting, and at times you struggle to get through each day.
“Once you are in a spiral, it is really hard to get out of it.”
He is now working in insurance, his debts are manageable and being paid off, and he said he wanted to help others “to show that you can get through these things”.
Figures published earlier in the week by the Bank of England fuelled concerns that everyday costs were becoming harder for some households to manage without turning to borrowing.
The data showed that credit card borrowing grew at the fastest annual rate in nearly two years in the run-up to Christmas.
The annual growth rate for credit card borrowing increased to 12.1% in November, from 10.9% the previous month – the highest figure since January 2024 when it was 12.5%.
Nutrition labels on the front of food packaging should be made mandatory in the UK, according to a consumer champion.
Which? called on the Government to make the change amid what it described as an “obesity crisis”.
A “better approach” is needed to help people make healthier choices, it said.
It comes after research by the group found shoppers prefer traffic light labelling, although they said it could be improved with more prominent placing and increased size.
Traffic light labelling on food packaging was introduced in 2013 and uses green (low), amber (medium), and red (high) colours to show fat, saturated fat, sugar, and salt content, plus calories.
The system is not mandatory in the UK, although it is voluntarily used by major manufacturers and retailers.
However, according to Which? the system is used inconsistently.
It claims some shops do not include traffic light labelling, or provide it without colour coding.
Research by Which? captured insights through the mobile phones of more than 500 shoppers to find out how the traffic light system is working for customers.
A third (33%) said that the nutrition label was the first thing they looked at on the front of a pack.
People most used the traffic light system when choosing snacks (56%), dairy products (33%) and breakfast cereals (27%).
Almost half (47%) said they found this labelling easy to understand.
In focus groups, the traffic light system was the preferred food labelling option, although suggestions to improve it included making it more prominent and larger.
Which? said that people also called for making the scheme easier to understand, such as making the recommended serving size on some products more realistic and consistent.
The consumer champion is now calling on the Government to introduce a mandatory front-of-pack nutrition labelling scheme.
It said this could build on the existing traffic light system to make it work better for shoppers by bolstering consistency, making it more prominent and removing aspects people may find confusing.
Sue Davies, head of food policy at Which?, said: “The UK is in the midst of an obesity crisis and it’s clear that a better approach to front-of-pack labelling is needed to help shoppers make healthier choices.
“Which? is calling on the Government to ensure that all manufacturers and retailers use front of pack nutrition labelling, ideally by making this mandatory.
“Our research shows that people still prefer traffic light nutrition labelling, but that the current scheme needs updating so that it is clearer and simpler and works better for consumers.
“The new system should be backed up with effective enforcement and oversight by the Food Standards Agency and Food Standards Scotland, so shoppers have full trust in the labels on their food.”
In 2022, some 64% of adults in England were estimated to be overweight or living with obesity.
In November it also emerged that one in 10 children in the first year of primary school in England is obese, the highest figure on record outside the pandemic.
It is estimated that obesity costs the NHS more than £11 billion every year.
A Department of Health and Social Care spokesperson said: “This Government is bringing in a modernised food nutrient scoring system to reduce obesity.
“It’s just one element of the strong action we are taking to tackle the obesity crisis as part of our 10 Year Health Plan, which will shift the focus from sickness to prevention.
“We are also restricting advertising of junk food on TV and online, limiting volume price promotions on less healthy foods and introducing mandatory reporting on sales of healthy food.”
Andrea Martinez-Inchausti, assistant director of food at the British Retail Consortium, said: “Retailers have led the way in nutrition labelling, consistently providing advice on healthy living.
“Whether that be through the traffic light system, or other measures, the industry is fully committed to helping improve the health of their customers and are constantly looking for what will work best for them.”
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