Eiko LifeSciences Limited, a leading supplier of specialty chemicals and Active Pharmaceutical Ingredients (APIs), announces a definitive agreement to acquire a 51% equity stake in SSM Formulations Private Limited (SSM), a Hinganghat Wardha based pharmaceutical formulations company.

This acquisition marks a transformative milestone for Eiko, evolving it from a Speciality chemicals and API supplier into a fully integrated pharmaceutical player with a global footprint in Finished Dosage Forms (FDF). The transaction will be executed in a phased manner aligned with Eiko's strategic fundraising through Warrants.

SSM operates a WHO-GMP accredited facility on the Nagpur-Hyderabad National Highway, spread over 16,400 sq. meters with a built-up area of 80,000 sq. ft. The facility is expansion ready with an additional 5,000 sq. ft. on the first floor.

With Eiko's marketing network and financial strength, supported by its robust working capital base, the plant can reach an annual capacity of 300 crore tablets and 90 crore capsules, positioning SSM for significant scale-up in manufacturing formulations.

Laxmikant Ramprasad Kabra, Director, Eiko LifeSciences Limited, said: "This is not just an acquisition; it's a multiplier effect for Eiko. SSM Formulations brings a massive manufacturing base and a foothold in over five international markets. By combining Eiko's financial strength with SSM's operational excellence, we aim to transform SSM into a global export hub. We are targeting a rapid scale-up to 90% capacity utilization, which will drive significant topline and bottom-line growth for Eiko shareholders.

By structuring the deal progressively along with our warrant issuance, we are ensuring financial prudence while securing a high-growth asset. SSM's facility is world-class, and together with Eiko's chemical expertise, we will become a fully integrated pharmaceutical company offering end-to-end solutions from molecule to medicine."