Bangalore, Nov 15, 2006: The International Finance Corporation (IFC), the private sector arm of the World Bank Group, will invest $6.5 million of equity, for a minority stake, and debt in India-based Ocimum Biosolutions. Funds raised from this transaction will be used for financing both organic as well as inorganic growth of the company.

 

Ms Anuradha Acharya, Founder & CEO of Ocimum Biosolutions, stated that the company is happy to have IFC as their partner for growth. Mr Iyad Malas, IFC’s Director for South Asia, commented that IFC’s support to Ocimum will provide the company its much needed growth capital to establish an internationally competitive contract research outsourcing company and promote the discovery of new drugs at lower costs. The organization will also help institute improved corporate governance standards.

 

This is Ocimum’s first round of fund raising from private equity investors. The company is contemplating another round of fund raising in the next 18–24 months. Recently, Ocimum acquired a Europe based oligo manufacturer. The company is also scouting for more targets in the European market. Avendus Advisors was the sole financial advisor to Ocimum for the deal.