Laurus Labs has announced an investment of up to €5 million (approximately ₹45 crore) in KRKA Pharma Private Limited, its joint venture with KRKA d.d., Novo mesto, Slovenia. The investment is expected to be completed by December 31, 2025.
KRKA Slovenia, the co-venturer, will also infuse ₹45.75 crore into the joint venture. Despite the fresh capital injection, the shareholding structure will remain unchanged, with KRKA holding 51% and Laurus Labs retaining 49% ownership.
The capital will be used to fund civil construction for a new manufacturing facility that will produce finished pharmaceutical products. According to Laurus Labs’ stock exchange filing on Friday, July 25, the facility will serve both Indian and international markets, marking a significant expansion of Laurus’ production capabilities.
The investment will be made through a subscription to equity shares at a face value of ₹10 per share. Although the transaction qualifies as a related-party deal—given the joint venture status and common directors—Laurus clarified that it is being carried out on an arm’s-length basis.
KRKA Pharma Private Limited, incorporated on April 12, 2024, is yet to begin commercial operations and has reported nil turnover to date. The company operates in the pharmaceutical sector, with an authorised share capital of ₹270 crore and a paid-up capital of ₹215 crore.
Separately, Laurus Labs reported a sharp rise in Q1 profits, with net profit soaring 1,154% year-on-year to ₹163 crore, up from ₹13 crore. Revenue also saw robust growth, climbing 31% to ₹1,570 crore, compared to ₹1,195 crore in the same quarter last year.