Malaysia’s state-owned private equity firm Ekuiti Nasional Bhd (Ekuinas) announced that it has acquired an 80% stake in active pharmaceutical ingredient (API) manufacturer Symbiotica Specialty Ingredients (Symbiotica).
Ekuinas, however, did not disclose the value of the acquisition, which marks its third investment in the pharmaceutical sector.
Its current portfolio includes Medispec (M) Sdn Bhd, a local pharmaceutical and supplement product distributor; and Cliffe Sdn Bhd, which owns a chain of 28 Kaisar Farmasi outlets, predominantly centered in the Klang Valley.
Ekuinas CEO Syed Yasir Arafat said the pharmaceutical industry is a significant economic contributor with remarkable growth potential.
Established in 2001, Symbiotica manufactures corticosteroid and steroid hormone API. The company, based in Seberan Perai in Penang, claims to be one of the few API manufacturers in Southeast Asia with expertise in this niche.
The company serves customers in Malaysia and more than 70 other countries, with a portfolio of over 70 API products.
Symbiotica managing director Ajoy Prabhu said the acquisition will help the company expand its manufacturing capacity and capabilities as it also focuses on research and development.
The acquisition comes as Ekuinas said the market for corticosteroids, steroid hormones, and non-steroidal APIs stood at $36 billion in 2023 and is projected to grow at a compounded annual growth rate of 6.7% by 2027.
“There are clear strategies in place and we look forward to taking the company to its next level of growth and contributing to the broader advancement of Malaysia’s pharmaceutical sector as the leading API company in SEA,” Arafat said.
Established in 2009, Ekuinas invests in Malaysia-based businesses, with an emphasis on core sectors such as education, oil and gas, fast-moving consumer goods (FMCG), retail and leisure, healthcare, and services.
To date, Ekuinas has undertaken 71 investments, out of which 48 are direct investments and 23 through outsourced fund managers.