Novo Holdings is the latest challenger in a hotly contested bidding process for Healthium, 99.8% owned by Apax Partners. Buyout funds KKR, Hillhouse, EQT, Blackstone and TA Associates among others have already been shortlisted after the initial rounds, ET reported on March 11.
Novo Holdings’ foray is expected to exacerbate competition for Healthium, which has been valued by rival bidders at Rs 6,500-7,000 crore. Due diligence for the company is underway.
Investment Pipeline
Danish investment firm Novo Holdings manages holdings of the Novo Nordisk Foundation, the world’s largest philanthropic body. Its influence and firepower stem from its 28% stake and 77% of voting shares in Novo Nordisk. It is also the controlling shareholder of industrial enzymes maker Novo Enzymes.
The recent success of the Danish pharma group’s blockbuster weight loss drug propelled its sales, lifting the company to over $500 billion in market capitalisation.
Rising incomes have boosted Novo Holdings’ confidence to plan investments of $7 billion every year till 2030, as dividend payments from the maker of diabetes drug Ozempic and weight loss treatment Wegovy continue to swell its coffers.Novo Holdings’ assets under management crossed $163 billion last calendar year from its investment portfolio of 170 companies, with primary bets in life sciences and capital investments, in equities, bonds, real estate and infrastructure along with its holdings in the two Novo companies.
Despite competition from Eli Lilly, pharma industry analysts expect the diabetes and weight loss category to reach $100 billion in value by 2030, with robust demand forecasts for Ozempic and Wegovy.
MUMBAI OFFICE
After setting up an office in Singapore in 2021, followed by Shanghai in 2022, Novo Holdings is planning to open an office in Mumbai this year.
