Sai Life Sciences Ltd - Stock Valuation and Financial Performance

Sai Life Sciences Limited was originally incorporated as ‘Sai Dru Syn Laboratories Limited’ at Hyderabad, Telangana (erstwhile Andhra Pradesh) as a public limited company under the Companies Act, 1956, pursuant to a certificate of incorporation dated January 25, 1999, issued by the Registrar of Companies, Andhra Pradesh at Hyderabad. The company received the certificate of commencement of business from Registrar of Companies, Andhra Pradesh at Hyderabad on February 17, 1999. Subsequently, the name of the company was changed from ‘Sai Dru Syn Laboratories Limited’ to ‘Sai Life Sciences Limited’ pursuant to a Shareholders’ resolution in an extraordinary general meeting held on December 11, 2003 and a fresh certificate of incorporation dated December 16, 2003 consequent to change of name was issued by the Registrar of Companies, Andhra Pradesh at Hyderabad. Thereafter, the name of the Company was changed from ‘Sai Life Sciences Limited’ to ‘Sai Advantium Pharma Limited’ pursuant to a Shareholders’ resolution in an extraordinary general meeting held on August 16, 2006 and a fresh certificate of incorporation dated August 30, 2006 consequent to change of name was issued by the Registrar of Companies, Andhra Pradesh at Hyderabad. Subsequently, the name of the company was changed from ‘Sai Advantium Pharma Limited’ to its present name, ‘Sai Life Sciences Limited’ pursuant to a Shareholders’ resolution in an extraordinary general meeting held on April 20, 2012 and a fresh certificate of incorporation dated May 28, 2012 consequent to change of name was issued by the Registrar of Companies, Andhra Pradesh at Hyderabad.

The company is an innovator-focused, contract research, development, and manufacturing organization (CRDMO). It provides end-to-end services across the drug discovery, development, and manufacturing value chain, for small molecule new chemical entities (NCE), to global pharmaceutical innovator companies and biotechnology firms. It possesses both (a) discovery / contract research (CRO) and (b) chemistry, manufacturing, and control (CMC) / contract development and manufacturing organization (CDMO) capabilities. It is also one of the few CRDMOs to have a differentiated delivery model of having research laboratories for discovery and development located near overseas innovation hubs at Watertown (Greater Boston, MA), United States (US) and Manchester, United Kingdom (UK), complemented by large-scale research laboratories and manufacturing facilities in cost competitive locations in India.

Its CRO services include integrated discovery (Discovery) capabilities across biology, chemistry, and drug metabolism and pharmacokinetics (DMPK). Its CDMO services include comprehensive capabilities that support its customers in the development and scaling up production of active pharmaceutical ingredients (APIs) (i.e., the active ingredients used in medications) and intermediates (i.e., chemical compounds used for the manufacture of APIs) for clinical phase and commercial phase supplies. 

It provides its services through its globally accredited manufacturing and R&D facilities with quality systems that are supported by a qualified pool of scientists, engineers, and other scientific staff. Furthermore, it is led by an experienced management team, with its senior management having years of experience in the global CRDMO industry. Its management team is guided by its Chairman and Whole time Director, Kanumuri Ranga Raju and Managing Director and Chief Executive Officer, Krishnam Raju Kanumuri.

Business area of the company

The company is a pure play fully-integrated, innovator-focused, contract research, development and manufacturing organization. It provides end-to-end services across the drug discovery, development and manufacturing value chain for small molecule new chemical entities to global pharmaceutical innovators companies and biotechnology firms. It possesses both (a) discovery / contract research and (b) chemistry, manufacturing, and control / contract development and manufacturing organization capabilities.

Awards, accreditations and recognitions

• 2020: Awarded the ‘Risk Mitigation Award’ by Institute of Supply Chain Management Pvt. Ltd. (ISCM) at the 2nd IPLA, 2020. 
• 2020: Awarded the ‘Best SRM Initiative of the Year Award’ by Institute of Supply Chain Management Pvt. Ltd at the 2nd IPLA, 2020. 
• 2020: Unit IV Bidar facility was awarded the ‘21st National Award for Excellence in Energy Management 2020’ for recognition as an ‘Energy Efficient Unit’ by the Confederation of Indian Industry at the National Award for Excellence in Energy Management, 2020. 
• 2020: Awarded the ‘Golden Peacock National Quality Award, 2020’. 
• 2020: Awarded a ‘Certificate of Excellence’ for securing a ‘5-Star Rating for Excellence in EHS Practices’ by the Confederation of Indian Industry at the CII-SR-EHS Excellence Awards for the year 2020.
• 2021: Awarded the ‘Excellence in Practice Award for Change Management- A Paradigm Shift in Effective Learning’ by the Association for Talent Development. 
• 2021: Awarded gold in ‘Best Advance in Learning Technology Implementation’ by the Brandon Hall Group at the HCM Excellence Awards, 2021.
• 2021: Awarded the ‘Excellence in Practice Award for Learning Technologies- GURUKUL’ by the Association for Talent Development.
• 2021: Awarded ‘The Resilient Procurement Strategy’ by the Institute of Supply Change Management at the India Procurement Leadership Awards - 2021.
• 2021: Unit IV Bidar facility was awarded the ‘22nd National Award for Excellence in Energy Management 2021’ for recognition as an ‘Energy Efficient Unit’ by the Confederation of Indian Industry at the National Award for Excellence in Energy Management, 2021.
• 2021: Awarded the ‘Golden Peacock National Training Award, 2021’ by the Institute of Directors (IOD) at the Golden Peacock Awards.
• 2022: Sai Life Science R&T Centre Hyderabad received the ‘LEED GOLD Certification’ for fulfilment of the requirements of the LEED Green Building Rating System certification by the U.S. Green Building Council & Green Business Certification Inc. in 2022. 
• 2022: Unit IV Bidar Facility was recognized as the ‘Energy Efficient Unit’ and was awarded the ‘23rd National Award for Excellence in Energy Management 2022’ for recognition as an ‘Energy Efficient Unit’ by the Confederation of Indian Industry at the National Award for Excellence in Energy Management, 2022.
• 2023: Awarded gold in ‘Best Advance in Content Authoring Technology’ by the Brandon Hall Group at the Technology Excellence Awards, 2023. 
• 2023: Unit IV Bidar Facility was awarded the ‘24th National Award for Excellence in Energy Management 2023’ for recognition as an ‘Energy Efficient Unit’ by the Confederation of Indian Industry at the National Award for Excellence in Energy Management, 2023. 
• 2023: Awarded the ‘Excellence in Digitalizing L&D’ by the Indian Society of Training and Development, Hyderabad Chapter at the L&D Award Ceremony, 2023.

History and milestones

• 1999: Incorporation of the company.
• 2002: Inauguration of its R&D labs in ICICI Knowledge Park, Hyderabad. 
• 2004: Strategic acquisitions of Prasad Drugs Limited, the current Unit III Bolarum Facility.
• 2006: Investment by Advantium LLC in the company to set-up discovery services to expand the company’s business. Acquired Merrifield Pharma Private Limited. 
• 2007: Acquisition of shares of the Company held by Advantium LLC by Sequoia Capital India Investments III.
• 2008: Investment by MPM Investment Mauritius in the company.
• 2014: Acquisition of shares of the Company held by MPM Investment Mauritius and Sequoia Capital India Investment III by Tata Capital Healthcare Fund 1.
• 2016: Acquisition of shares of the Company held by MPM Investment Mauritius by HBM Private Equity India and subscription to shares of the company. 
• 2019: Opened biology facility in Watertown (Greater Boston, MA) U.S.A. 
• 2020: Launched Sai Nxt, an initiative aiming to transform the organization into a new generation CDMO Addition of cellular analysis platforms at its discovery biology facility in Cambridge, Massachusetts, USA. 
• 2021: Opened new 75,000 sq. ft. discovery biology facility at its integrated R&D campus at Unit II Hyderabad Facility. 
• 2022: Inauguration of the first set of new discovery chemistry labs as part of the new integrated discovery block at Unit II Hyderabad Facility. 
• 2022: Announced the launch of BIOVIA Electronic Lab Notebook application. 
• 2023: Inauguration of high potency API manufacturing block at Unit IV Bidar Facility. 
• 2024: Initiated API developability & formulations (D&F) capabilities at Unit II Hyderabad.