Syngene details biologics facility acquisition, operational milestones

Syngene International Limited announced an investor presentation on September 9, 2025, detailing the acquisition and operational status of its Unit-3 multimodal biologics facility, acquired from Stelis Biopharma in December 2023. The acquisition, valued at Rs 617 Crores, was fully funded through internal accruals and cash, and is projected to achieve an asset turnover of 1x in less than five years. An additional $10m (INR 100 Crores) was allocated for modification capex, bringing the total operational cost to $85m.

The Unit-3 facility, located near Biocon Park, became partially operational in Q1 FY26 following local regulatory approvals in May 2025. It includes 8 KL (4*2 KL) commissioned drug substance capacity and commercial-scale fill-finish capabilities, including two integrated vial lines with a capacity of 520 vials/min. The facility has successfully delivered a GMP clinical batch of drug substance for a US-based client in Q1 FY26 and plans to focus on integrated clinical and late-stage manufacturing for both human and animal health.

Despite initial minor dilution in operating margins due to integration costs, EBITDA margins are expected to align with the company average from FY29. The facility is projected to positively contribute to Syngene’s bottom line from FY27. The company emphasizes a "value buy" acquisition, leveraging existing infrastructure to enhance drug substance and drug product capabilities years ahead of internal capex programs.