Cipla Limited announced the formation of a 60:40 joint venture (JV) company in India with Kemwell Biopharma Private Limited on March 2, 2026. The JV is established to focus on developing, manufacturing, commercializing, and exporting biologic products for global markets. Initial capital commitment involves an investment of up to INR 10 crores from both partners, with Cipla contributing INR 60,000 initially for 6,000 shares upon incorporation.
Formation of New Biologics Joint Venture
Cipla Limited has officially entered into an agreement to form a joint venture company in India with Kemwell Biopharma Private Limited (‘Kemwell’) on 2nd March 2026. The partnership structure is established as a 60:40 joint venture between Cipla and Kemwell, respectively.
JV Objectives and Scope
The primary objective of the newly incorporated JV Company is to undertake comprehensive activities within the biologics sector. This includes the development, application for, and obtaining of licenses for biologic products, as well as their manufacturing, commercializing, importing, exporting, and related licensing or outsourcing activities. The JV will operate within the Pharmaceutical Industry.
Partner Background
Kemwell is highlighted as a premier Asia-based Contract Development and Manufacturing Organization (CDMO) providing end-to-end services to global biopharma clients. Kemwell’s existing facilities include a Bangalore cGMP site certified by the US FDA, possessing 5,000 L bioreactor capacity, sterile fill-finish capabilities, and advanced development laboratories supporting R&D and clinical programs for novel biologics and biosimilars.
Financial and Capital Structure
The nature of consideration for the formation is Cash consideration. JV partners will initially invest up to INR 10 crores in the JV Company, subscribed in their respective JV ratio. Specifically, at the time of incorporation, Cipla will subscribe to 6,000 shares of INR 10 each at par, amounting to a total investment of INR 60,000.
Jurisdiction and Status
The new entity being incorporated is a Joint Venture Company that is yet to be incorporated. The JV will be domiciled in India. Since the JV Company is yet to be incorporated, details regarding its size, turnover, and acquisition cost are Not applicable at this stage of the announcement.
Source: BSE
